Terra Property Trust, Inc. 6.00 (TPTA) 10-K 10 Mar 23 2022 FY Annual report Financial data

Cover

Cover - USD ($)	12 Months Ended
	Dec. 31, 2022	Mar. 10, 2023	Jun. 30, 2022
Document Information [Line Items]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2022
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	001-40496
Entity Registrant Name	Terra Property Trust, Inc.
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	81-0963486
Entity Address, Address Line One	205 West 28th Street
Entity Address, Address Line Two	12th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10001
City Area Code	212
Local Phone Number	753-5100
Title of 12(b) Security	6.00% Notes due 2026
Trading Symbol	TPTA
Security Exchange Name	NYSE
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
ICFR Auditor Attestation Flag	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		24,335,379
Entity Public Float			$ 0
Documents Incorporated by Reference	Documents Incorporated by ReferenceThe registrant incorporates by reference its definitive Proxy Statement with respect to its 2023 Annual Meeting of Stockholders, to be filed with the Securities and Exchange Commission within 120 days following the end of its fiscal year, into Part III of this Annual Report on Form 10-K.
Entity Central Index Key	0001674356
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Amendment Flag	false
Class A common stock, $0.01 par value, 450,000,000 and no shares authorized and no shares issued, at both December 31, 2022 and 2021, respectively
Document Information [Line Items]
Title of 12(g) Security	Class A Common Stock $0.01 par value per share
Class B Common stock, $0.01 par value, 450,000,000 and no shares authorized and 24,335,370 and no shares issued and outstanding at December 31, 2022 and 2021, respectively
Document Information [Line Items]
Title of 12(g) Security	Class B Common Stock, $0.01 par value per share

Audit Information

Audit Information	12 Months Ended
	Dec. 31, 2022
Audit Information [Abstract]
Auditor Name	KPMG LLP
Auditor Location	New York, NY
Auditor Firm ID	185

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Assets
Cash and cash equivalents	$ 28,567,825	$ 35,783,956
Restricted cash	4,633,204	7,411,811
Cash held in escrow by lender	3,268,563	7,902,880
Marketable securities	147,960	1,310,000
Loans held for investment	626,490,767	469,673,314
Equity investment in unconsolidated investments	62,498,340	69,713,793
Real estate owned, net (Note 6)
Land, building and building improvements, net	46,660,226	58,325,068
Lease intangible assets, net	2,568,461	7,451,771
Operating lease right-of-use asset	27,378,786	27,394,936
Deal deposit	4,241,892	0
Interest receivable	4,100,501	2,463,037
Due from related party	0	2,605,639
Other assets	2,780,367	3,505,953
Total assets	813,336,892	693,542,158
Liabilities:
Term loan payable	25,000,000	91,940,062
Unsecured notes payable, net of debt issuance cost	116,530,673	81,856,799
Repurchase agreements payable, net of deferred financing fees	169,304,710	43,974,608
Obligations under participation agreements (Note 8 )	12,680,594	42,232,027
Mortgage loan payable, net of deferred financing fees and other	29,488,326	32,134,295
Revolving line of credit payable, net of deferred financing fees	89,807,448	38,186,472
Secured borrowing	0	34,586,129
Interest reserve and other deposits held on investments	4,633,204	7,411,811
Operating lease liability	27,378,786	27,394,936
Lease intangible liabilities, net (Note 6)	8,646,840	9,709,710
Due to Manager (Note 8)	3,935,997	2,388,317
Interest payable	1,058,001	1,879,626
Accounts payable and accrued expenses	1,452,236	1,264,131
Unearned income	378,018	449,690
Other liabilities	1,159,885	4,289,967
Total liabilities	491,454,718	419,698,580
Commitments and contingencies (Note 10)
Equity:
Common stock		194,875
Additional paid-in capital	444,449,813	373,443,672
Accumulated deficit	(122,935,993)	(99,919,969)
Total equity	321,882,174	273,843,578
Total liabilities and equity	813,336,892	693,542,158
Loans held for investment, net
Assets
Loans held for investment	584,417,939	457,329,582
Loans held for investment acquired through participation, net
Assets
Loans held for investment	42,072,828	12,343,732
Series A Preferred Stock
Equity:
Preferred stock	125,000	$ 125,000
Class B Common stock, $0.01 par value, 450,000,000 and no shares authorized and 24,335,370 and no shares issued and outstanding at December 31, 2022 and 2021, respectively
Equity:
Common stock	$ 243,354

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parentheticals) - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Preferred stock, par value (in usd per share)	$ 0.01	$ 0.01
Preferred stock, authorized (in shares)	50,000,000	50,000,000
Preferred stock, issued (in shares)	0	0
Common stock, par or stated value per share (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	0	450,000,000
Common stock, shares, issued (in shares)	0	19,487,460
Common stock, shares, outstanding (in shares)	0	19,487,460
Series A Preferred Stock
Preferred stock, authorized (in shares)	125	125
Preferred stock, issued (in shares)	125	125
Preferred stock outstanding (in shares)	125	125
Preferred stock, dividend rate, percentage	12.50%	12.50%
Class A Common Stock
Common stock, par or stated value per share (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	450,000,000
Common stock, shares, issued (in shares)	0	0
Class B Common Stock
Common stock, par or stated value per share (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	450,000,000	0
Common stock, shares, issued (in shares)	24,335,370
Common stock, shares, outstanding (in shares)	24,335,370

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Revenues
Interest income	$ 42,591,972	$ 36,743,470
Real estate operating revenue	11,451,914	8,894,991
Prepayment fee income	1,984,061	190,997
Other operating income	586,499	855,799
Total revenues	56,614,446	46,685,257
Operating expenses
Operating expenses reimbursed to Manager	8,076,321	6,916,371
Asset management fee	6,556,492	5,134,149
Asset servicing fee	1,560,044	1,181,924
Provision for loan losses	11,813,409	10,904,163
Real estate operating expenses	5,005,551	5,003,893
Depreciation and amortization	6,530,595	3,989,114
Impairment charge	1,604,989	3,395,430
Professional fees	3,697,792	1,795,856
Directors fees	192,497	145,000
Other	747,535	448,503
Operating expenses	45,785,225	38,914,403
Operating income	10,829,221	7,770,854
Other income and expenses
Interest expense from obligations under participation agreements	(3,180,771)	(10,596,545)
Interest expense on repurchase agreement payable	(7,913,942)	(142,495)
Interest expense on mortgage loan payable	(2,173,114)	(2,449,239)
Interest expense on revolving line of credit	(2,674,568)	(911,811)
Interest expense on term loan payable	(524,344)	(6,835,877)
Interest expense on unsecured notes payable	(6,682,937)	(3,173,673)
Interest expense on secured borrowing	(1,507,572)	(1,576,502)
Net unrealized (losses) gains on marketable securities	(122,299)	22,500
Loss on sale of real estate	(51,984)	0
Income from equity investment in unconsolidated investments	2,731,477	5,925,802
Gain on sale of interests in unconsolidated investments	799,827	0
Realized loss on loan repayments	0	(517,989)
Gain on extinguishment of obligations under participation agreements	3,435,902	0
Realized gains on marketable securities	83,411	129,248
Total other income and expense	(17,780,914)	(20,126,581)
Net loss	(6,951,693)	(12,355,727)
Series A preferred stock dividend declared	(15,624)	(15,624)
Net loss allocable to common stock	$ (6,967,317)	$ (12,371,351)
Loss per share — basic (in usd per share)	$ (0.34)	$ (0.63)
Loss per share — diluted (in usd per share)	$ (0.34)	$ (0.63)
Weighted-average shares — basic (in shares)	20,709,400	19,487,460
Weighted-average shares — diluted (in shares)	20,709,400	19,487,460
Distributions declared per common share (in usd per share)	$ 0.78	$ 0.88

Consolidated Statements of Chan

Consolidated Statements of Changes in Equity - USD ($)	Total	Preferred Stock	Preferred Stock 12.5% Series A Cumulative Non-Voting Preferred Stock	Common Stock	Common Stock Class A Common Stock	Common Stock Class B Common Stock	Additional Paid-in Capital	Accumulated Deficit
Beginning balance at Dec. 31, 2020	$ 303,325,065	$ 0	$ 125,000	$ 194,875			$ 373,443,672	$ (70,438,482)
Beginning balance (in shares) at Dec. 31, 2020			125	19,487,460
Distributions declared on common shares	(17,110,136)							(17,110,136)
Distributions declared on preferred shares	(15,624)							(15,624)
Net loss	(12,355,727)							(12,355,727)
Ending balance at Dec. 31, 2021	273,843,578	0	$ 125,000	$ 194,875	$ 0	$ 0	373,443,672	(99,919,969)
Ending balance (in shares) at Dec. 31, 2021			125	19,487,460	0	0
Common stock converted into newly authorized Class B Common Stock prior to the BDC Merger (Note 11) (in shares)				19,487,460		19,487,460
Common stock converted into newly authorized Class B Common Stock prior to the BDC Merger (Note 11)				$ (194,875)		$ 194,875
Shares issued in connection with the BDC Merger (Note 3) (in shares)						4,847,910
Shares issued in connection with the BDC Merger (Note 3)	71,054,620					$ 48,479	71,006,141
Distributions declared on common shares	(16,048,707)							(16,048,707)
Distributions declared on preferred shares	(15,624)							(15,624)
Net loss	(6,951,693)							(6,951,693)
Ending balance at Dec. 31, 2022	$ 321,882,174	$ 0	$ 125,000	$ 0	$ 0	$ 243,354	$ 444,449,813	$ (122,935,993)
Ending balance (in shares) at Dec. 31, 2022			125	0	0	24,335,370

Consolidated Statements of Ch_2

Consolidated Statements of Changes in Equity (Parentheticals) - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Statement of Stockholders' Equity [Abstract]
Distributions declared per common share (in usd per share)	$ 0.78	$ 0.88

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Cash flows from operating activities:
Net loss	$ (6,951,693)	$ (12,355,727)
Adjustments to reconcile net loss to net cash provided by operating activities:
Paid-in-kind interest income, net	0	(1,000,028)
Depreciation and amortization	6,530,595	3,989,114
Provision for loan losses	11,813,409	10,904,163
Impairment charge	1,604,989	3,395,430
Amortization of net purchase premiums on loans	557,012	61,390
Straight-line rent adjustments	1,357,247	(146,317)
Amortization of deferred financing costs	2,271,556	963,986
Amortization of discount on unsecured notes payable	738,583	248,108
Amortization of above- and below-market rent intangibles	(914,965)	(392,161)
Amortization and accretion of investment-related fees, net	(1,210,524)	(264,697)
Amortization of above-market rent ground lease	(130,348)	(130,349)
Realized gain on marketable securities	(83,411)	(129,248)
Unrealized losses (gains) on marketable securities	122,299	(22,500)
Loss on sale of real estate	51,984	0
Realized loss on loan repayments	0	517,989
Gain on extinguishment of obligations under participation agreements	(3,435,902)	0
Income from equity investment in excess of distributions received	(1,091,372)	(1,276,726)
Gain on sale of interests in unconsolidated investments	(799,827)	0
Changes in operating assets and liabilities:
Deal deposits	(4,241,892)	0
Interest receivable	(323,606)	46,552
Due from related party	2,421,388	(2,605,639)
Other assets	(2,918,189)	574,832
Due to Manager	0	93,226
Unearned income	(71,672)	(215,075)
Interest payable	(821,625)	694,124
Accounts payable and accrued expenses	(552,728)	(2,704,472)
Other liabilities	(3,517,540)	3,860,844
Net cash provided by operating activities	403,768	4,106,819
Cash flows from investing activities:
Origination and purchase of loans	(290,005,676)	(252,437,733)
Proceeds from repayments of loans	197,484,239	196,780,456
Purchase of equity interests in unconsolidated investments	(25,504,979)	(32,177,108)
Proceeds from sale of interests in unconsolidated investments	33,688,430	0
Cash and restricted cash acquired in connection with the BDC Merger	24,582,565	0
Proceeds from sale of real estate	8,585,500	0
Proceeds from sale of marketable securities	1,259,417	6,608,396
Distributions in excess of net income	923,200	0
Repayments of promissory note receivable	(386,395)	0
Proceeds from promissory note receivable	386,395	0
Purchase of marketable securities	(136,265)	(6,479,148)
Cash paid to stockholders of Terra BDC in connection with the BDC Merger	(12,920)	0
Net cash used in investing activities	(49,136,489)	(87,705,137)
Cash flows from financing activities:
Proceeds from borrowings under repurchase agreements	151,906,606	44,569,600
Proceeds from borrowings under revolving line of credit	130,519,295	38,575,895
Repayment of borrowings under the term loan	(93,763,471)	(16,585,001)
Repayments of borrowings under revolving line of credit	(78,959,325)	0
Repayment of secured borrowing	(38,672,291)	0
Proceeds from obligations under participation agreements	29,607,969	71,682,634
Repayments of borrowings under repurchase agreements	(25,599,600)	0
Repayments of obligations under participation agreements	(22,239,670)	(101,722,161)
Distributions paid	(16,064,331)	(17,125,760)
Proceeds from secured borrowing	4,151,186	16,239,256
Change in interest reserve and other deposits held on investments	(3,039,221)	(4,733,805)
Repayment of mortgage principal	(2,710,384)	(12,057,533)
Payment of financing costs	(1,033,097)	(2,295,347)
Proceeds from issuance of unsecured notes payable, net of discount	0	82,464,844
Proceeds from borrowings under the term loan	0	2,764,020
Net cash provided by financing activities	34,103,666	101,776,642
Net (decrease) increase in cash, cash equivalents and restricted cash	(14,629,055)	18,178,324
Cash, cash equivalents and restricted cash at beginning of year	51,098,647	32,920,323
Cash, cash equivalents and restricted cash at end of year (Note 2)	36,469,592	51,098,647
Supplemental Disclosure of Cash Flows Information:
Cash paid for interest	$ 22,569,976	$ 22,219,386

Consolidated Statements of Ca_2

Consolidated Statements of Cash Flows - Supplemental Non-Cash Investing Activities (Parenthetical)	Oct. 01, 2022 USD ($)
Terra BDC
Fair value of Terra Property Trust shares of common stock issued	$ 71,054,620
Cash paid for fractional shares	12,920
Transaction costs	2,283,785
Total Consideration	73,351,325
Assets Acquired and Liabilities Assumed at Fair Value
Interest receivable	1,367,044
Other assets	55,465
Term loan payable	(25,000,000)
Unsecured notes payable	(33,770,000)
Obligations under participation agreements	(6,114,979)
Interest reserve and other deposits held on investments	(260,614)
Due to manager	(682,541)
Interest payable	(53,186)
Accounts payable and accrued expenses	(740,824)
Other liabilities	(387,446)
Net assets acquired excluding cash and restricted cash	48,768,760
Cash and restricted cash acquired	24,582,565
Terra BDC | Loans held for investment, net
Assets Acquired and Liabilities Assumed at Fair Value
Loans held for investment	77,562,528
Terra BDC | Loans held for investment acquired through participation, net
Assets Acquired and Liabilities Assumed at Fair Value
Loans held for investment	$ 36,793,313

Business

Business	12 Months Ended
	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business	Note 1. Business Terra Property Trust, Inc. (and, together with its consolidated subsidiaries, the “Company” or “Terra Property Trust”) was incorporated under the Maryland General Corporation Law 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. 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 its 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. 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 exemption from registration as an “investment company” 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 (“Terra Capital Partners”), pursuant to a management agreement (the “Management Agreement”), under the oversight of the Company’s board of directors (the “Board”) ( Note 8 ). 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. On April 1, 2021, Mavik Capital Management, LP (“Mavik”), an entity controlled by Vikram S. Uppal, the Chief Executive Officer of the Company, completed a series of related transactions that resulted in all of the outstanding interests in Terra Capital Partners, being acquired by Mavik for a combination of cash and interests in Mavik (the “Recapitalization”). No amendments or other modifications were made to the Management Agreement in connection with the Recapitalization, and the Manager and its personnel continue to serve as the external manager of the Company pursuant to the terms of the Management Agreement. On October 1, 2022, pursuant to the Merger Agreement, Terra BDC, merged with and into Terra LLC, a wholly owned subsidiary of the Company, with Terra LLC continuing as the surviving entity of the BDC Merger and as a wholly owned subsidiary of the Company ( Note 3 ).

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2. Summary of Significant Accounting Policies Principles of Consolidation The consolidated financial statements include all of the Company’s accounts and those of its consolidated subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to the current period presentation. The Company consolidates entities in which it has a controlling financial interest based on either the variable interest entity (“VIE”) or voting interest model. The Company is required to first apply the VIE model to determine whether it holds a variable interest in an entity, and if so, whether the entity is a VIE. If the Company determines it does not hold a variable interest in a VIE, it then applies the voting interest model. Under the voting interest model, the Company consolidates an entity when it holds a majority voting interest in an entity. The Company accounts for investments in which it has significant influence but not a controlling financial interest using the equity method of accounting (see Note 5 ). VIE Model An entity is considered to be a VIE if any of the following conditions exist: (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) the holders of the equity investment at risk, as a group, lack either the direct or indirect ability through voting rights or similar rights to make decisions that have a significant effect on the success of the entity or the obligation to absorb the entity’s expected losses or right to receive the entity’s expected residual returns, or (c) the voting rights of some equity investors are disproportionate to their obligation to absorb losses of the entity, their rights to receive returns from an entity, or both and substantially all of the entity’s activities either involve or are conducted on behalf of an investor with disproportionately few voting rights. Under the VIE model, limited partnerships are considered VIEs unless a limited partner holds substantive kick-out or participating rights over a general partner. The Company consolidates entities that are VIEs when the Company determines it is the primary beneficiary. Generally, the primary beneficiary of a VIE is a reporting entity that has (a) the power to direct the activities that most significantly affect the VIE’s economic performance, and (b) the obligation to absorb losses of, or the right to receive benefits from, the VIE that could potentially be significant to the VIE. Loans Held for Investment The Company originates, acquires, and structures, or acquired through participations, real estate-related loans generally to be held to maturity (collectively the “loans”). 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 (“TDRs”) 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. Equity Investment in Unconsolidated Investments The Company accounts for its equity interests in unconsolidated investments under the equity method of accounting, i.e., at cost, increased or decreased by its share of earnings or losses, less distributions, plus contributions and other adjustments required by equity method accounting. The Company evaluates its equity investment unconsolidated investments on a periodic basis to determine if there are any indicators that the value of its equity investments may be impaired and whether or not that impairment is other-than-temporary. To the extent an impairment has occurred and is determined to be other-than-temporary, the Company measures the charge as the excess of the carrying value of its investment over its estimated fair value, which is determined by calculating its share of the estimated fair market value of the underlying net assets based on the terms of the applicable partnership or joint venture agreements. 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 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 yield 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 as of: December 31, 2022 2021 Cash and cash equivalents $ 28,567,825 $ 35,783,956 Restricted cash 4,633,204 7,411,811 Cash held in escrow by lender 3,268,563 7,902,880 Total cash, cash equivalents and restricted cash shown in the consolidated $ 36,469,592 $ 51,098,647 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 9 for additional information. Term Loan The Company previously financed certain of its senior loans through borrowings under an indenture and credit agreement. The Company accounted for the borrowings as a term loan, which was carried at the contractual amount (cost), net of unamortized deferred financing fees. On February 18, 2022, the Company refinanced the Term Loan (as defined below) with a new repurchase agreement. See “Term Loan” in Note 9 for additional information. In connection with the BDC Merger, the Company assumed a $25.0 million delayed draw term loan. The Company classified this delayed draw term loan as term loan payable on the consolidated balance sheets. Repurchase Agreements The Company finances certain of its senior loans held for investment through repurchase transactions under master repurchase agreements. 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. See “Repurchase Agreements” in Note 9 for additional information. Fair Value Measurements United States generally accepted accounting principles (“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, secured borrowing, unsecured notes, mortgage loan payable, term loan payable, repurchase agreement payment and revolving line of credit. 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 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 dividends equal to 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) 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 December 31, 2022, the Company has satisfied all the requirements for a REIT. 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 years ended December 31, 2022 and 2021, 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 2019-2022 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. Actual results may ultimately differ from those estimates, and those differences could be material. 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. The Company adopted this ASU and related amendments on January 1, 2023. The adoption of ASU 2016-13 resulted in an incremental reserve of approximately $4.6 million, which included reserve on future loan funding commitments. The Company will record the cumulative effect of initially applying this guidance as an adjustment to Accumulated deficit using the modified retrospective method of adoption. London Interbank Offered Rate (“LIBOR”) is a benchmark interest rate referenced in a variety of agreements that are used by all types of entities. In July 2017, the U.K. Financial Conduct Authority, which regulates the LIBOR administrator, ICE Benchmark Administration Limited (“IBA”), announced that it would cease to compel banks to participate in setting LIBOR as

BDC Merger

BDC Merger	12 Months Ended
	Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]
BDC Merger	Note 3. BDC Merger BDC Merger On October 1, 2022 (the “Closing Date”), pursuant to the Merger Agreement, Terra BDC merged with and into Terra LLC, with Terra LLC surviving as a wholly owned subsidiary of the Company. The Certificate of Merger and Articles of Merger with respect to the BDC Merger were filed with the Secretary of State of the State of Delaware and State Department of Assessments and Taxation of Maryland (the “SDAT”), respectively, with an effective time and date of 12:02 a.m., Eastern Time, on the Closing Date (the “Effective Time”). At the Effective Time, except for any shares of common stock, par value $0.001 per share, of Terra BDC (“Terra BDC Common Stock”) held by the Company or any wholly owned subsidiary of the Company or Terra BDC, which shares were automatically retired and ceased to exist with no consideration paid therefor, each issued and outstanding share of Terra BDC Common Stock was automatically cancelled and retired and converted into the right to receive (i) 0.595 shares of the newly designated Class B Common Stock and (ii) cash, without interest, in lieu of any fractional shares of Class B Common Stock otherwise issuable in an amount, rounded to the nearest whole cent, determined by multiplying (x) the fraction of a share of Class B Common Stock to which such holder would otherwise be entitled by (y) $14.38. Pursuant to the terms of the transactions described in the Merger Agreement, approximately 4,847,910 shares of Class B Common Stock were issued to former Terra BDC stockholders in connection with the BDC Merger, based on the number of outstanding shares of Terra BDC Common Stock as of the Closing Date. Following the consummation of the BDC Merger, former Terra BDC stockholders owned approximately 19.9% of the common equity of the Company. The Company and Terra BDC prepared their respective financial statements in accordance with generally accepted accounting principles in the United States. The BDC Merger is accounted for using the acquisition method of accounting, with the Company being treated as the accounting acquirer. In identifying the Company as the acquiring entity for accounting purposes, the Company and Terra BDC took into account a number of factors, including the relative size of the merging companies, which entity issues additional shares in conjunction with the BDC Merger, the relative voting interests of the respective stockholders after consummation of the BDC Merger, and the composition of the Board and senior management of the combined company after consummation of the BDC Merger. The Company, as the acquirer, accounted for the BDC Merger as an asset acquisition and all direct acquisition-related costs are capitalized to the total cost of the assets acquired and liabilities assumed. Pursuant to Accounting Standard Codification Topic 805, Business Combination , total cost is allocated to the assets acquired and liabilities assumed on a relative fair value basis. The following table summarizes the total consideration and the fair values of assets acquired and liabilities assumed in the BDC Merger: Total Consideration Fair value of Terra Property Trust shares of common stock issued $ 71,054,620 Cash paid for fractional shares 12,920 Transaction costs 2,283,785 $ 73,351,325 Assets Acquired and Liabilities Assumed at Fair Value Cash and cash equivalents $ 24,321,951 Restricted cash 260,614 Loans held for investment 77,562,528 Loans held for investment acquired through participation 36,793,313 Interest receivable 1,367,044 Other assets 55,465 Term loan payable (25,000,000) Unsecured notes payable (33,770,000) Obligations under participation agreements (6,114,979) Interest reserve and other deposits held on investments (260,614) Due to manager (682,541) Interest payable (53,186) Accounts payable and accrued expenses (740,824) Other liabilities (387,446) Net assets acquired $ 73,351,325 The fair value of the 4,847,910 shares of the Class B Common Stock was determined based on the Company’s net asset value per share of $14.66 as of October 1, 2022. Net Gain on Extinguishment of Obligations Under Participation Agreements As discussed in Note 8 , 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. As a result of the BDC Merger, the obligations under participation agreements with Terra BDC totaling $37.0 million were effectively extinguished and the Company recognized a net gain of $3.4 million, representing the difference between the carrying value of the Company’s obligations under participation agreements and the fair value of Terra BDC’s investments acquired through participation agreements. Appointment of Directors As of the Effective Time and in accordance with the Merger Agreement, the size of the Board was increased by three members and each of Spencer Goldenberg, Adrienne Everett and Gaurav Misra (each a “Terra BDC Designee”, and collectively, the “Terra BDC Designees”) were elected to the Board to fill the vacancies created by such increase, with each Terra BDC Designee to serve until the Company’s next annual meeting of stockholders and until his or her successor is duly elected and qualifies. Each of the other members of the Board immediately prior to the Effective Time continued as members following the Effective Time. Voting Support Agreement On the Closing Date, the Company, Terra JV and Terra Offshore REIT entered into a Voting Support Agreement (the “2022 Voting Agreement”). Pursuant to the 2022 Voting Agreement, effective as of the Closing Date, Terra JV and Terra Offshore REIT have agreed to, at any meeting of the Company’s stockholders called for the purpose of electing directors (or by any consent in writing or by electronic transmission in lieu of any such meeting), cast all votes entitled to be cast by each of them in favor of the election of the Terra BDC Designees until the earlier of (i) the first anniversary of the Closing Date, (ii) the TPT Class B Common Stock Distributions (as defined in the 2022 Voting Agreement) or (iii) an amendment and restatement of the amended and restated management agreement between the Company and Terra REIT Advisors approved by the Company’s Board, including the Terra BDC Designees. Indemnification Agreements The Company has entered into customary indemnification agreements with each member of the Board (including each Terra BDC Designee). These agreements, among other things, require the Company to indemnify each director to the maximum extent permitted by Maryland law, including indemnification of expenses such as attorney’s fees, judgments, fines and settlement amounts incurred in any action or proceeding, including any action or proceeding by or in right of the Company, arising out of his or her service as a director.

Loans Held for Investment

Loans Held for Investment	12 Months Ended
	Dec. 31, 2022
Receivables [Abstract]
Loans Held for Investment	Note 4. Loans Held for Investment Portfolio Summary The following table provides a summary of the Company’s loan portfolio as of: December 31, 2022 December 31, 2021 Fixed Rate Floating (1)(2)(3) Total Fixed Rate Floating (1)(2)(3) Total Number of loans 8 23 31 6 15 21 Principal balance $ 90,990,183 $ 554,805,276 $ 645,795,459 $ 74,880,728 $ 405,270,423 $ 480,151,151 Carrying value $ 92,274,998 $ 534,215,769 $ 626,490,767 $ 75,520,212 $ 394,153,102 $ 469,673,314 Fair value $ 90,729,098 $ 532,416,656 $ 623,145,754 $ 75,449,410 $ 391,752,209 $ 467,201,619 Weighted-average coupon rate 13.82 % 11.23 % 11.59 % 12.39 % 7.01 % 7.85 % Weighted-average remaining 1.35 1.10 1.14 1.93 1.45 1.53 _______________ (1) These loans pay a coupon rate of LIBOR or Secured Overnight Financing Rate (“SOFR”), as applicable, plus a fixed spread. Coupon rate shown was determined using LIBOR of 4.39%, average SOFR of 4.06% and forward-looking term rate based on SOFR (“Term SOFR”) of 4.36% as of December 31, 2022 and LIBOR of 0.10% as of December 31, 2021. (2) As of December 31, 2022 and 2021, amount included $413.1 million and $163.1 million of senior mortgages used as collateral for $261.0 million and $93.8 million of borrowings under credit facilities, respectively ( Note 9 ). (3) As of December 31, 2022 and 2021, twenty-one and thirteen of these loans, respectively, are subject to a LIBOR or SOFR floor, as applicable. Lending Activities The following tables present the activities of the Company’s loan portfolio: Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2022 $ 457,329,582 $ 12,343,732 $ 469,673,314 New loans made 257,780,401 32,225,275 290,005,676 Principal repayments received (197,484,239) — (197,484,239) Loans acquired and contributed in connection with the BDC Merger 77,562,529 (2,744,091) 74,818,438 Net amortization of premiums on loans (469,563) (87,449) (557,012) Accrual, payment and accretion of investment-related fees and other, 1,512,638 335,361 1,847,999 Provision for loan losses (11,813,409) — (11,813,409) Balance, December 31, 2022 $ 584,417,939 $ 42,072,828 $ 626,490,767 Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2021 $ 417,986,462 $ 4,294,053 $ 422,280,515 New loans made 240,130,367 12,307,366 252,437,733 Principal repayments received (192,530,456) (4,250,000) (196,780,456) PIK interest (1) 1,955,109 — 1,955,109 Net amortization of premiums on loans (61,390) — (61,390) Accrual, payment and accretion of investment-related fees and other, 1,405,206 (7,687) 1,397,519 Realized loss on loan repayments (2)(3) (651,553) — (651,553) Provision for loan losses (10,904,163) — (10,904,163) Balance, December 31, 2021 $ 457,329,582 $ 12,343,732 $ 469,673,314 _______________ (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 $1.0 million for the year ended December 31, 2021. (2) On September 2, 2021, the Company foreclosed on a hotel property encumbered by a first mortgage and the related subordinated mezzanine loan, both of which were held by the Company, with an aggregate principal balance $14.6 million. On September 23, 2021, the hotel property was sold to a third party for $13.8 million. The net proceeds from the sale, together with a payment under a contractual guarantee of $0.8 million from the borrower, were used to pay off both loans in full. In connection with the loan repayment, the related obligation under participation agreement of $6.4 million was simultaneously satisfied. In connection with the loan repayment, the Company recorded a loss of $0.4 million related to the write-off of the interest accrued but uncollected in the third quarter of 2021, excluding the amount attributable to obligations under participation agreements of $0.1 million. (3) Amount also included realized loss of $0.3 million related to the TDR transaction described below. 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: December 31, 2022 December 31, 2021 Loan Structure Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total First mortgages $ 456,408,889 $ 461,299,182 73.7 % $ 345,454,454 $ 348,101,455 74.0 % Preferred equity investments 121,231,434 122,132,177 19.5 % 92,252,340 92,400,572 19.7 % Mezzanine loans 39,352,303 39,451,115 6.3 % 17,444,357 17,622,804 3.8 % Credit facility 28,802,833 29,080,183 4.6 % 25,000,000 25,206,964 5.4 % Allowance for loan losses — (25,471,890) (4.1) % — (13,658,481) (2.9) % Total $ 645,795,459 $ 626,490,767 100.0 % $ 480,151,151 $ 469,673,314 100.0 % December 31, 2022 December 31, 2021 Property Type Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total Office $ 184,196,708 $ 184,722,657 29.4 % $ 221,596,870 $ 222,426,872 47.3 % Industrial 147,796,164 148,891,742 23.8 % 32,000,000 32,206,964 6.9 % Multifamily 104,589,464 105,570,432 16.9 % 80,805,787 81,835,756 17.4 % Mixed-use 64,880,450 65,838,965 10.5 % 28,940,658 28,977,024 6.2 % Infill land 48,860,291 49,565,437 7.9 % 28,960,455 28,923,827 6.2 % Hotel - full/select service 43,222,382 43,758,804 7.0 % 56,847,381 57,395,682 12.2 % Student housing 31,000,000 31,774,261 5.1 % 31,000,000 31,565,670 6.7 % Infrastructure 21,250,000 21,840,359 3.5 % — — — % Allowance for loan losses — (25,471,890) (4.1) % — (13,658,481) (2.9) % Total $ 645,795,459 $ 626,490,767 100.0 % $ 480,151,151 $ 469,673,314 100.0 % December 31, 2022 December 31, 2021 Geographic Location Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total United States California $ 164,253,345 $ 165,839,561 26.5 % $ 234,968,151 $ 237,015,597 50.4 % New York 91,845,479 91,877,084 14.7 % 92,252,340 92,400,572 19.7 % Georgia 72,401,718 73,101,964 11.7 % 53,289,288 53,536,884 11.4 % Texas 67,625,000 68,142,046 10.9 % 13,625,000 13,725,690 2.9 % New Jersey 62,228,622 62,958,482 10.0 % — — — % Washington 56,671,267 57,027,639 9.1 % 3,523,401 3,382,683 0.7 % Utah 49,250,000 50,698,251 8.1 % 28,000,000 28,420,056 6.1 % North Carolina 43,520,028 44,041,162 7.0 % 44,492,971 44,704,699 9.5 % Arizona 31,000,000 31,276,468 5.0 % — — — % Massachusetts 7,000,000 7,000,000 1.1 % 7,000,000 7,000,000 1.5 % South Carolina — — — % 3,000,000 3,145,614 0.7 % Allowance for loan losses — (25,471,890) (4.1) % — (13,658,481) (2.9) % Total $ 645,795,459 $ 626,490,767 100.0 % $ 480,151,151 $ 469,673,314 100.0 % 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: December 31, 2022 December 31, 2021 Loan Risk Rating Number of Loans Principal Balance Carrying Value % of Total Number of Loans Principal Balance Carrying Value % of Total 1 — $ — $ — — % — $ — $ — — % 2 2 25,000,000 25,041,782 3.8 % 2 25,000,000 25,041,124 5.2 % 3 25 530,867,244 536,992,660 82.4 % 15 349,273,811 352,164,409 72.9 % 4 — — — — % 1 60,012,639 60,012,639 12.4 % 5 — — — — % — — — — % Other (1) 4 89,928,215 89,928,215 13.8 % 3 45,864,701 46,113,623 9.5 % 31 $ 645,795,459 651,962,657 100.0 % 21 $ 480,151,151 483,331,795 100.0 % Allowance for loan losses (25,471,890) (13,658,481) Total, net of allowance for loan losses $ 626,490,767 $ 469,673,314 _______________ (1) Because these loans have an event of default, they are removed from the pool of loans on which a general allowance is calculated and are evaluated for collectability individually. As of December 31, 2022 and 2021, the specific allowance for loan losses on these loans were $25.5 million and $12.8 million, respectively, as a result of a decline in the fair value of the respective collateral. As of December 31, 2022, the Company did not have any loans with a loan risk rating of “4” or “5”, and did not record any general allowance for loan losses for the year ended December 31, 2022. As of December 31, 2022, the Company had four loans deemed impaired and recorded specific allowance for loan losses of $11.8 million for the year ended December 31, 2022. As of December 31, 2021, the Company had one loan with a loan risk rating of “4” and no loans with a loan risk rating of “5”, and recorded general allowance for loan losses of $0.6 million for the year ended December 31, 2021. Additionally, as of December 31, 2021, the Company had three loans deemed impaired and recorded specific allowance for loan losses of $10.3 million for the year ended December 31, 2021. The following table presents the activity in the Company’s allowance for loan losses: Years Ended December 31, 2022 2021 Allowance for loan losses, beginning of year $ 13,658,481 $ 3,738,758 Provision for loan losses 11,813,409 10,904,163 Charge-offs (1) — (984,440) Allowance for loan losses, end of year $ 25,471,890 $ 13,658,481 _______________ (1) Amount related to the TDR below. As of December 31, 2022 and 2021, the Company had two loans and one loan that were in default, respectively. Additionally, for the years ended December 31, 2022 and 2021, the Company suspended interest income accrual of $8.5 million and $3.6 million, respectively, on three loans because recovery of such income was doubtful. Troubled Debt Restructuring As of December 31, 2022, there was one investment that qualified as troubled debt restructuring. As of December 31, 2021, the Company had a recorded investment in troubled debt restructuring of $13.7 million. 2022 — In December 2022, the borrower of a $40.1 million senior loan experienced financial difficulty and offered to repay the loan for $38.7 million. The remaining $1.4 million was converted to subordinated equity that accrues dividends at 8.0% and the Company is entitled to receive waterfall profit upon a sale. The Company does not anticipate a full recovery of the equity position and does not expect to receive any additional income. As a result, the remaining $1.4 million is reflected as a loan receivable and it is fully reserved for as of December 31, 2022. The Company classified this loan modification as a TDR as it met all the conditions to be considered a TDR pursuant to ASC 310-40. The following table summarizes the recorded investment of TDR as of the date of restructuring: Number of loans modified 1 Pre-modified recorded carrying value $ 40,837,901 Post-modified recorded carrying value (1) $ 1,364,944 _______________ (1) As of December 31, 2022, the principal balance of this loan was the same as the carrying value. The Company recorded an allowance for loan losses of $1.4 million to fully reserve for the unpaid principal balance. There was no income from this investment from the date of modification on December 28, 2022 through December 31, 2022. 2021 — Due to financial difficulty resulting from the COVID-19 pandemic, a borrower defaulted on interest payments in May 2020 on a $3.5 million mezzanine loan, and the Company subsequently suspended the interest accrual. The Company purchased the senior loan from a third-party lender on September 3, 2021 in order to facilitate a refinancing. Subsequently on September 23, 2021, the senior and mezzanine loans were refinanced and the Company issued a new senior loan with a committed amount of $14.7 million, of which $13.6 million was funded at closing. The concession granted in the refinancing was the forgiveness of principal and accrued interest of $1.3 million on the mezzanine loan, of which $1.0 million was previously recorded as an allowance for loan losses, in addition to $0.4 million of nonaccrual interest. The Company classified the refinancing as a TDR as it met all the conditions to be considered a TDR pursuant to ASC 310-40. This investment was repaid in full in April 2022. The following table summarizes the recorded investment of TDR as of the date of restructuring: Number of loans modified 1 Pre-modified recorded carrying value $ 18,503,470 Post-modified recorded carrying value (1) $ 13,625,000 _______________ (1) As of December 31, 2021, the principal balance of this loan was $13.6 million and the carrying value of this loan, which includes the present value of the exit fee, was $13.7 million. There is no allowance for loan losses recorded for this new senior loan. Once classified as a TDR, the new senior loan was classified as an impaired loan until it was extinguished and the carrying value was evaluated at each reporting date for collectability based on the fair value of the underlying collateral. Since the fair value of the collateral was greater than the carrying value of the new senior loan, no specific allowance was recorded as of December 31, 2021. For the period from January 1, 2022 through the date of repayment on April 1, 2022, income from the new senior loan was $0.3 million. For the year ended December 31, 2021, interest income from the new senior loan was $0.3 million.

Equity Investment in Unconsolid

Equity Investment in Unconsolidated Investments	12 Months Ended
	Dec. 31, 2022
Equity Method Investments and Joint Ventures [Abstract]
Equity Investment in Unconsolidated Investments	Note 5. Equity Investment in Unconsolidated Investments The Company owns interests in a limited partnership and three joint ventures. The Company accounts for its interests in these investments under the equity method of accounting ( Note 2 ). The Company classifies distributions received from equity method investments using the cumulative earnings approach. Distributions received are considered returns on the investment and classified as cash inflows from operating activities. If, however, the investor’s cumulative distributions received, less distributions received in prior periods determined to be returns of investment, exceeds cumulative equity in earnings recognized, the excess is considered a return of investment and is classified as cash inflows from investing activities. Equity Investment in a Limited Partnership On August 3, 2020, the Company entered into a subscription agreement with Mavik Real Estate Special Opportunities Fund, LP (“RESOF”) whereby the Company committed to fund up to $50.0 million to purchase a limited partnership interest in RESOF. RESOF ’s primary investment objective is to generate attractive risk-adjusted returns by purchasing performing and non-performing mortgages, loans, mezzanines and other credit instruments supported by underlying commercial real estate assets. RESOF may also opportunistically originate high-yield mortgages or loans in real estate special situations including rescue financings, bridge loans, restructurings and bankruptcies (including debtor-in-possession loans). The general partner of RESOF is Mavik Real Estate Special Opportunities Fund GP, LLC , which is a subsidiary of the Company’s sponsor, Terra Capital Partners . As of December 31, 2022 and 2021, the unfunded commitment was $22.4 million and $15.1 million, respectively. The Company evaluated its equity interest in RESOF and determined it does not have a controlling financial interest and is not the primary beneficiary. Accordingly, the equity interest in RESOF is accounted for as an equity method investment. As of December 31, 2022 and 2021, the Company owned 27.9% and 50.0% of the equity interest in RESOF, respectively. As of December 31, 2022 and 2021, the carrying value of the Company ’ s investment in RESOF was $36.8 million and $40.5 million, respectively. For the year ended December 31, 2022, the Company recorded equity income from RESOF of $5.2 million, and did not receive any distributions from RESOF. For the year ended December 31, 2021, the Company recorded equity income from RESOF of $6.2 million and received distributions from RESOF of $3.5 million. In connection with the equity investment in RESOF, the Company paid origination fees to the Manager totaling $0.5 million, to be amortized to equity income on a straight-line basis over the life of RESOF. The following tables present summarized financial information of the Company’s equity investment in RESOF. Amounts provided are the total amounts attributable to the investment and do not represent the Company’s proportionate share: As of December 31, 2022 2021 Investments at fair value (cost of $176,035,290 and $107,261,022, respectively) $ 178,283,703 $ 108,359,898 Other assets 23,918,841 5,484,087 Total assets 202,202,544 113,843,985 Revolving line of credit, net of financing costs 14,795,985 14,909,717 Obligations under participation agreement (proceeds of $41,726,565 and $14,252,357, respectively) 41,962,861 14,351,617 Other liabilities 17,120,804 5,296,603 Total liabilities 73,879,650 34,557,937 Partners’ capital $ 128,322,894 $ 79,286,048 Years Ended December 31, 2022 2021 Total investment income $ 31,436,886 $ 11,769,083 Total expenses 9,042,066 2,381,145 Net investment income 22,394,820 9,387,938 Unrealized (depreciation) appreciation on investments (2,180,632) 524,113 Net increase in partners’ capital resulting from operations $ 20,214,188 $ 9,912,051 Equity Investment in Joint Ventures As of December 31, 2022, the Company beneficially owned equity interests in three joint ventures that invest in real estate properties. The Company evaluated its equity interests in the joint ventures and determined it does not have a controlling financial interest and is not the primary beneficiary. Accordingly, the equity interests in the joint ventures are accounted for as equity method investments. In September 2022, the Company sold a 53% effective interest in two joint ventures and 59% effective interest in another joint venture for a total of $33.7 million and recognized a gain on sale of $0.8 million. The following table presents the Company’s beneficial ownership interests in its equity investments in the joint ventures and their respective carrying values: In December 2022, the Company originated a $10.0 million mezzanine loan to a borrower to finance the acquisition of a real estate portfolio. In connection with this mezzanine loan, the Company entered into a residual profit sharing agreement with the borrower where the borrower will pay the Company an additional amount of 35.0% of remaining net cash flow from the sale of the real estate portfolio. The Company accounts for this arrangement using the equity method of accounting. The following table presents a summary of the Company’s equity investment in unconsolidated investments as of: December 31, 2022 December 31, 2021 Entity Co-owner (1) Beneficial Ownership Interest Carrying Value Beneficial Ownership Interest Carrying Value LEL Arlington JV LLC (1) Affiliate/Third party 27.2% $ 7,271,603 80% $ 23,949,044 LEL NW 49th JV LLC (1) Affiliate/Third party 27.2% 1,521,556 80% 5,306,467 TCG Corinthian FL Portfolio JV LLV (1)(2) Affiliate/Third Party 30.6% 6,896,816 —% — SF-Dallas Industrial, LLC (3) N/A N/A 10,013,691 —% — $ 25,703,666 $ 29,255,511 _______________ (1) The Company sold a portion of the interest in this investment to an affiliate in September 2022. (2) This investment was purchased from a third party in March 2022. (3) This investment that meets the definition of an equity investment was entered into in December 2022. The following tables present estimated combined summarized financial information of the Company’s equity investment in the joint ventures. Amounts provided are the total amounts attributable to the joint ventures and do not represent the Company’s proportionate share: As of December 31, 2022 2021 Net investments in real estate $ 192,616,298 $ 115,636,424 Other assets 12,817,388 4,856,249 Total assets 205,433,686 120,492,673 Mortgage loan payable 147,740,645 83,445,235 Other liabilities 3,104,624 1,305,572 Total liabilities 150,845,269 84,750,807 Members’ capital $ 54,588,417 $ 35,741,866 Years Ended December 31, 2022 2021 Revenues $ 15,071,626 $ 1,448,431 Operating expenses (6,710,172) (518,904) Depreciation and amortization expense (9,914,314) (541,119) Interest expense (7,572,790) (692,500) Unrealized gains 3,244,813 447 Net loss $ (5,880,837) $ (303,645) For the year ended December 31, 2022, the Company recorded equity loss from the joint ventures of $2.5 million, and received distributions from the joint ventures of $0.9 million. For the year ended December 31, 2021, the Company recorded equity loss from the joint ventures of $0.2 million and received no distributions. In connection with these investments, the Company paid origination fee to the Manager totaling $0.5 million, to be amortized to equity income over the life of the respective joint venture.

Real Estate Owned, Net

Real Estate Owned, Net	12 Months Ended
	Dec. 31, 2022
Real Estate [Abstract]
Real Estate Owned, Net	Note 6. Real Estate Owned, Net Real Estate Activities 2022 — In June 2022, the Company sold 4.9 acres of land it owned in Pennsylvania for net proceeds of $8.6 million, and recognized a net loss on sale of $0.1 million excluding impairment charges of $1.6 million and $3.4 million recognized in March 2022 and December 2021, respectively. 2021 — In September 2021, the Company signed a new lease for the vacant space in an office building. The lease commenced on December 1, 2021 and has term of 10 years with an option to extend the lease for 5 years. Additionally, the lease provides for a fixed rental payment plus a percentage rent that is based on 6% of the gross sales of the tenant’s business. The lease also provides a 3% increase in rental payment every year. In November 2021, the Company received notice from a tenant of their intention to terminate its lease effective November 30, 2022. In connection with the lease termination, the Company received a termination fee of $3.1 million, to be amortized to income over the remaining life of the lease. In December 2021, the Company recorded an impairment charge of $3.4 million on the 4.9 acres of 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 was comprised of 4.9 acres of 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 as of: December 31, 2022 December 31, 2021 Cost Accumulated Depreciation/Amortization Net Cost Accumulated Depreciation/Amortization Net Real estate: Land (1) $ — $ — $ — $ 10,000,000 $ — $ 10,000,000 Building and building 51,725,969 (5,711,468) 46,014,501 51,725,969 (4,418,305) 47,307,664 Tenant improvements 1,854,640 (1,224,648) 629,992 1,854,640 (947,369) 907,271 Furniture and fixtures 236,000 (220,267) 15,733 236,000 (125,867) 110,133 Total real estate 53,816,609 (7,156,383) 46,660,226 63,816,609 (5,491,541) 58,325,068 Lease intangible assets: In-place lease 14,982,538 (12,493,079) 2,489,459 14,982,538 (7,627,326) 7,355,212 Above-market rent 156,542 (77,540) 79,002 156,542 (59,983) 96,559 Total intangible assets 15,139,080 (12,570,619) 2,568,461 15,139,080 (7,687,309) 7,451,771 Lease intangible liabilities: Below-market rent (2,754,922) 2,428,647 (326,275) (2,754,922) 1,496,125 (1,258,797) Above-market ground lease (8,896,270) 575,705 (8,320,565) (8,896,270) 445,357 (8,450,913) Total intangible liabilities (11,651,192) 3,004,352 (8,646,840) (11,651,192) 1,941,482 (9,709,710) Total real estate $ 57,304,497 $ (16,722,650) $ 40,581,847 $ 67,304,497 $ (11,237,368) $ 56,067,129 _______________ (1) The 4.9 acres of land in Pennsylvania was sold by the Company in the second quarter of 2022. 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: Years Ended December 31, 2022 2021 Real estate operating revenues: Lease revenue $ 6,782,778 $ 7,167,049 Other operating income 4,669,136 1,727,942 Total $ 11,451,914 $ 8,894,991 Real estate operating expenses: Utilities $ 235,403 $ 208,098 Real estate taxes 1,400,519 1,401,279 Repairs and maintenances 728,944 645,316 Management fees 267,188 271,303 Lease expense, including amortization of above-market ground lease 1,948,652 2,084,402 Other operating expenses 424,845 393,495 Total $ 5,005,551 $ 5,003,893 Leases As of December 31, 2022, the Company owned a multi-tenant office building that was leased to four tenants. In addition, the office building is subject to 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 64.6 years as of December 31, 2022, 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, 2025. The Company is currently litigating with the landlord with respect to the appropriate method for determining the fair value of the land for purposes of setting the ground rent – Terra Ocean Ave., LLC v. Ocean Avenue Santa Monica Realty LLC, Superior Court of California, Los Angeles County, Case No. 20STCV34217. The Company believes this determination should be based on comparable sales, while the landlord insists that the rent under the ground lease itself is also relevant. The Company’s position has prevailed in all three of the prior arbitrations to reset the ground rent. Since future rent reset determinations under the ground lease cannot be known at this time, the Company did not include any potential future rent increases in calculating the present value of future rent payments. The Company intends vigorously to pursue the litigation. While the Company believes its arguments will likely prevail, the outcome of the legal proceeding cannot be predicted with certainty. If the landlord prevails, the future rent reset determinations could result in significantly higher ground rent, which would likely result in a significant diminution in the value of the Company’s interest in the ground lease and the office building. Scheduled Future Minimum Rent Income Scheduled future minimum rents, exclusive of renewals and expenses paid by tenants, under non-cancelable operating leases at December 31, 2022 are as follows: Years Ending December 31, Total 2023 $ 4,235,538 2024 4,380,043 2025 792,925 2026 816,724 2027 598,943 Thereafter 1,815,497 Total $ 12,639,670 Scheduled Annual Net Amortization of Intangibles Based on the intangible assets and liabilities recorded at December 31, 2022, 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 2023 $ (139,056) $ 1,093,878 $ (130,348) $ 824,474 2024 (152,107) 1,177,775 (130,348) 895,320 2025 17,556 87,121 (130,348) (25,671) 2026 17,556 87,121 (130,348) (25,671) 2027 8,778 43,564 (130,348) (78,006) Thereafter — — (7,668,825) (7,668,825) Total $ (247,273) $ 2,489,459 $ (8,320,565) $ (6,078,379) _______________ (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 as of: December 31, 2022 2021 Operating lease Operating lease right-of-use asset $ 27,378,786 $ 27,394,936 Operating lease liability $ 27,378,786 $ 27,394,936 Weighted average remaining lease term — operating lease (years) 63.8 64.8 Weighted average discount rate — operating lease 7.6 % 7.6 % The component of lease expense for the ground lease was as follows: Years Ended December 31, 2022 2021 Operating lease cost $ 2,079,000 $ 2,214,750 Supplemental non-cash information related to the ground lease was as follows: Years Ended December 31, 2022 2021 Amounts included in the measurement of lease liability: Operating cash flows from an operating lease $ 2,079,000 $ 2,214,750 Right-of-use asset obtained in exchange for lease obligations: Operating lease $ 2,079,000 $ 2,214,750 Maturities of operating lease liability as of December 31, 2022 was as follows: Years Ending December 31, Operating Lease 2023 $ 2,079,000 2024 2,079,000 2025 2,079,000 2026 2,079,000 2027 2,079,000 Thereafter 122,227,875 Total lease payments 132,622,875 Less: Imputed interest (105,244,089) Total $ 27,378,786

Fair Value Measurements

Fair Value Measurements	12 Months Ended
	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Fair Value Measurements	Note 7. Fair Value Measurements The Company follows 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 December 31, 2022 and 2021, 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, secured borrowing, term loan payable, repurchase agreement payable, mortgage loan payable and revolving line of credit. Such financial instruments are carried at cost, less impairment or less net deferred costs, 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 according to the fair value hierarchy as of: December 31, 2022 Fair Value Measurements Level 1 Level 2 Level 3 Total Marketable Securities: Debt securities $ 147,960 $ — $ — $ 147,960 Total $ 147,960 $ — $ — $ 147,960 December 31, 2021 Fair Value Measurements Level 1 Level 2 Level 3 Total Marketable Securities: Equity securities $ 1,310,000 $ — $ — $ 1,310,000 Total $ 1,310,000 $ — $ — $ 1,310,000 The following table presents the activities of the marketable securities: Years Ended December 31, 2022 2021 Beginning balance $ 1,310,000 $ 1,287,500 Purchases 136,265 6,479,148 Proceeds from sale (1,259,417) (6,608,396) Reclassification of net realized gains on marketable securities into earnings 83,411 129,248 Unrealized (losses) gains on marketable securities (122,299) 22,500 Ending balance $ 147,960 $ 1,310,000 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 as of: December 31, 2022 December 31, 2021 Level Principal Amount Carrying Value Fair Value Principal Amount Carrying Value Fair Value Loans: Loans held for investment 3 $ 604,068,894 $ 609,889,829 $ 581,182,892 $ 467,843,785 $ 470,988,063 $ 454,840,551 Loans held for investment 3 41,726,565 42,072,828 41,962,862 12,307,366 12,343,732 12,361,068 Allowance for loan losses — (25,471,890) — — (13,658,481) — Total loans $ 645,795,459 $ 626,490,767 $ 623,145,754 $ 480,151,151 $ 469,673,314 $ 467,201,619 Liabilities: Term loan payable 3 $ 25,000,000 $ 25,000,000 $ 25,000,000 $ 93,763,470 $ 91,940,062 $ 94,344,595 Unsecured notes payable 1 123,500,000 116,530,673 103,481,748 85,125,000 81,856,799 85,210,125 Repurchase agreement payable 3 170,876,606 169,304,710 170,876,606 44,569,600 43,974,608 44,569,600 Obligations under participation 3 12,584,958 12,680,594 12,680,595 42,048,294 42,232,027 41,475,060 Mortgage loan payable 3 29,252,308 29,488,326 29,394,870 31,962,692 32,134,295 32,192,785 Secured borrowing 3 — — — 34,521,104 34,586,129 34,425,029 Revolving line of credit 3 90,135,865 89,807,448 90,135,865 38,575,895 38,186,472 38,575,895 Total liabilities $ 451,349,737 $ 442,811,751 $ 431,569,684 $ 370,566,055 $ 364,910,392 $ 370,793,089 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 December 31, 2022 and 2021 due to their short-term nature. Valuation Process for Fair Value Measurement The fair value of the Company’s investment in equity securities and its unsecured notes payable 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, which may include 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, secured borrowing, term loan payable and revolving line of credit 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 tables summarize the valuation techniques and significant unobservable inputs used by the Company to value the Level 3 loans as of December 31, 2022 and 2021. 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 December 31, 2022 Primary Valuation Technique Unobservable Inputs December 31, 2022 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 581,182,892 Discounted cash flow Discount rate 8.71 % 19.36 % 11.46 % Loans held for investment acquired through 41,962,862 Discounted cash flow Discount rate 15.25 % 17.06 % 16.67 % Total Level 3 Assets $ 623,145,754 Liabilities: Repurchase agreement payable 170,876,606 Discounted cash flow Discount rate 5.22 % 6.17 % 6.82 % Obligations under participation agreements 12,680,595 Discounted cash flow Discount rate 16.36 % 16.36 % 16.36 % Mortgage loan payable 29,394,870 Discounted cash flow Discount rate 8.24 % 8.24 % 8.24 % Term loan payable 25,000,000 Discounted cash flow Discount rate 5.63 % 5.63 % 5.63 % Revolving line of credit 90,135,865 Discounted cash flow Discount rate 7.64 % 7.64 % 7.64 % Total Level 3 Liabilities $ 328,087,936 Fair Value at December 31, 2021 Primary Valuation Technique Unobservable Inputs December 31, 2021 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 454,840,551 Discounted cash flow Discount rate 3.89 % 15.00 % 8.11 % Loans held for investment acquired through 12,361,068 Discounted cash flow Discount rate 8.25 % 15.00 % 12.33 % Total Level 3 Assets $ 467,201,619 Liabilities: Term loan payable $ 94,344,595 Discounted cash flow Discount rate 4.00 % 4.00 % 4.00 % Repurchase agreement payable 44,569,600 Discounted cash flow Discount rate 2.45 % 2.74 % 2.57 % Obligations under participation agreements 41,475,060 Discounted cash flow Discount rate 12.37 % 15.00 % 14.31 % Mortgage loan payable 32,192,785 Discounted cash flow Discount rate 6.08 % 6.08 % 6.08 % Secured borrowing 34,425,029 Discounted cash flow Discount rate 6.64 % 6.64 % 6.64 % Revolving line of credit 38,575,895 Discounted cash flow Discount rate 4.00 % 4.00 % 4.00 % Total Level 3 Liabilities $ 285,582,964

Related Party Transactions

Related Party Transactions	12 Months Ended
	Dec. 31, 2022
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions Management Agreement The Company entered into the 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: Years Ended December 31, 2022 2021 Origination and extension fee expense (1)(2) $ 2,967,291 $ 2,729,598 Asset management fee 6,556,492 5,134,149 Asset servicing fee 1,560,044 1,181,924 Operating expenses reimbursed to Manager 8,076,321 6,916,371 Disposition fee (3) 890,194 1,006,302 Total $ 20,050,342 $ 16,968,344 _______________ (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) Amount for the years ended December 31, 2022 and 2021 excluded $0.2 million and $0.3 million of origination fee, respectively, paid to the Manager in connection with the Company’s equity investment in an unconsolidated investment. This origination fee was capitalized to the carrying value of the unconsolidated investment as a transaction cost. (3) 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 investments, 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 December 31, 2022 and 2021, 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. Cost Sharing and Reimbursement Agreement The Company and Terra LLC have entered into a cost sharing and reimbursement agreement effective October 1, 2022, pursuant to which Terra LLC is responsible for its allocable share of the Company’s expenses, including fees paid by the Company to the Manager based on relative assets under management. These fees are eliminated in consolidation and therefore have no impact on the Company’s consolidated financial statements. Distributions Paid For the years ended December 31, 2022 and 2021, the Company made distributions to investors totaling $16.0 million and $17.1 million, respectively, of which $6.5 million and $14.6 million were returns of capital, respectively ( Note 11 ). Due to Manager As of December 31, 2022 and 2021, approximately $3.9 million and $2.4 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. Due from Related Party As of December 31, 2022, there was no amount due from related party. As of December 31, 2021, amount due from a related party was $2.6 million, primarily related to the reserve funding on a loan that was held by an affiliate. The reserve funding was transferred to the Company in February 2022. Mavik Real Estate Special Opportunities Fund, LP On August 3, 2020, the Company entered into a subscription agreement with RESOF whereby the Company committed to fund up to $50.0 million to purchase limited partnership interests in RESOF. For more information on this investment, please see Note 5 . Participation Agreements 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 “Participants”). The purpose of the participation agreements 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 a nd Secured Borrowing ” in ( Note 9 ). Participation Interests Purchased by the Company From time to time, the Company may purchase investments from affiliates pursuant to participation agreements. In accordance with the terms of each participation agreement, 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. The table below lists the participation interests purchased by the Company pursuant to participation agreements as of: December 31, 2022 Participating Interests Principal Balance Carrying Value Havemeyer TSM LLC (1)(2) 23.00% $ 3,282,208 $ 3,313,813 Mesa AZ Industrial Owner, LLC (1)(3) 38.27% 31,000,000 31,276,468 UNJ Sole Member, LLC (1) 40.80% 7,444,357 7,482,547 $ 41,726,565 $ 42,072,828 December 31, 2021 Participating Interests Principal Balance Carrying Value Hillsborough Owners LLC (4) 30.00% $ 4,863,009 $ 4,866,542 UNJ Sole Member, LLC (1) 40.80% 7,444,357 7,477,190 $ 12,307,366 $ 12,343,732 ________________ (1) The loan is held in the name of Mavik Real Estate Special Opportunities Fund REIT, LLC (“RESOF REIT”), a related-party REIT managed by the Manager. (2) The Company acquired its interest in this investment in connection with the BDC Merger (3) The Company acquired its interest in this investment in September 2022. (4) The loan was held in the name of Terra BDC, a formerly affiliated fund that was advised by Terra Income Advisors, LLC, an affiliate of the Company’s sponsor and Manager. In connection with the BDC Merger, the Company contributed the loan to Terra BDC and the related obligation under participation agreement was released. Transfers of Participation Interest by the Company The following tables summarize the loans that were subject to participation agreements with affiliated entities and third-parties as of: Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance Carrying Value 610 Walnut Investors LLC (1) $ 18,625,738 $ 18,738,386 67.57 % $ 12,584,958 $ 12,680,594 $ 18,625,738 $ 18,738,386 $ 12,584,958 $ 12,680,594 Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance Carrying Value 370 Lex Part Deux, LLC (2)(3) $ 60,012,639 $ 60,012,639 35.00 % $ 21,004,424 $ 21,004,423 RS JZ Driggs, LLC (2)(3) 15,606,409 15,754,641 50.00 % 7,806,370 7,880,516 William A. Shopoff & Cindy I. Shopoff (2)(3) 25,000,000 25,206,964 52.95 % 13,237,500 13,347,088 $ 100,619,048 $ 100,974,244 $ 42,048,294 $ 42,232,027 ________________ (1) Participant was a third party. (2) Participant was Terra BDC and now Terra LLC. (3) In connection with the BDC Merger, the obligations under participation agreements were effectively extinguished and the Company recognized a gain on extinguishment of obligations under participation agreements of $3.4 million ( Note 3 ). 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 participation agreement. 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 participation agreements 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. Secured Borrowing In March 2020, the Company entered into a financing transaction where a third-party purchased an A-note position. However, the sale of the A-note position did not qualify for sale accounting under ASC 860 and therefore, the gross amount of the loan remains in the consolidated balance sheets and the proceeds from the sale on the portion transferred are recorded as secured borrowing. Interest earned on the entire loan balance is recorded within “ Interest income ” and the interest related to the transferred interest is recorded within “ Interest expense on secured borrowing ” in the consolidated statements of operations. In August 2022, the secured borrowing was repaid in full. The following table summarizes the loan that was transferred to a third-party that was accounted for as secured borrowing as of: Transfers Treated as Secured Borrowing as of December 31, 2021 Principal Balance Carrying Value % Transferred Principal Balance Carrying Value Windy Hill PV Five CM, LLC $ 49,954,068 $ 50,264,568 69.11 % $ 34,521,104 $ 34,586,129 $ 49,954,068 $ 50,264,568 $ 34,521,104 $ 34,586,129

Debt

Debt	12 Months Ended
	Dec. 31, 2022
Debt Disclosure [Abstract]
Debt	Note 9. Debt Unsecured Notes Payable The 6.00% Senior Notes Due 2026 On June 10, 2021, the Company issued $78.5 million in aggregate principal amount of its 6.00% notes due 2026 (the “initial note”), for net proceeds of $76.0 million after deducting underwriting commissions of $2.5 million, but before offering expenses payable by the Company. On June 25, 2021, the underwriters partially exercised their option to purchase an additional $6.6 million of the notes for net proceeds of $6.4 million (the “additional notes” and, together with the initial notes, the “6.00% Senior Notes Due 2026”), after deducting underwriting commissions of $0.2 million, but before offering expenses payable by us, which closed on June 29, 2021. Interest on the 6.00% Senior Notes Due 2026 is paid quarterly in arrears every March 30, June 30, September 30 and December 30, at a fixed rate of 6.00% per year, beginning September 30, 2021. The 6.00% Senior Notes Due 2026 mature on June 30, 2026, unless redeemed earlier by the Company, and may be redeemed in whole or in part at any time or from time to time at the Company’s option on or after June 10, 2023. In connection with the issuance of the 6.00% Senior Notes Due 2026, the Company entered into (i) an Indenture, dated June 10, 2021 (the “Base Indenture”), by and between the Company and U.S. Bank National Association, as trustee (the “Trustee”), and (ii) the First Supplemental Indenture thereto, dated June 10, 2021 (the “Supplemental Indenture” and, collectively with the Base Indenture, the “Indenture”), by and between the Company and the Trustee. The Indenture contains certain covenants that, among other things, limit the ability of the Company, subject to exceptions, to make distributions in excess of 90% of the Company’s taxable income, incur indebtedness (as defined in the Indenture) or purchase shares of the Company’s capital stock unless the Company has an asset coverage ratio (as defined in the Indenture) of at least 150% after giving effect to such transaction. The Indenture also provides for customary events of default which, if any of them occurs, would permit or require the principal of and accrued interest on the notes to become or to be declared due and payable. As of December 31, 2022 and 2021, the Company was in compliance with the covenants included in the Indenture. The 7.00% Senior Notes Due 2026 As previously reported by Terra BDC, on February 10, 2021, Terra BDC issued $34.8 million in aggregate principal amount of 7.00% fixed-rate notes due 2026, for net proceeds of $33.7 million after deducting underwriting commissions of $1.1 million and on February 26, 2021, the underwriters exercised the option to purchase an additional $3.6 million of the notes for net proceeds of $3.5 million, after deducting underwriting commissions of $0.1 million (collectively the “7.00% Senior Notes Due 2026”). Pursuant to the Merger Agreement, Terra LLC agreed to take all necessary action to assume the payment of the principal of and interest on all of the 7.00% Senior Notes Due 2026 outstanding as of the Effective Time and the performance of every covenant of the Indenture, dated February 10, 2021 (the “TIF6 Indenture”), between Terra BDC and the Trustee, as supplemented by the First Supplemental Indenture, dated February 10, 2021, by and between Terra BDC and the Trustee (the “First Supplemental Indenture”), to be performed or observed by Terra BDC, including, without limitation, the execution and delivery to the Trustee of a supplement to the TIF6 Indenture in form satisfactory to the Trustee. On the Closing Date, Terra BDC, Terra LLC and the Trustee entered into a Second Supplemental Indenture pursuant to which Terra LLC assumed the payment of the 7.00% Senior Notes Due 2026 and the performance of every covenant of the TIF6 Indenture, as supplemented by the First Supplemental Indenture, to be performed or observed by Terra BDC. The 7.00% Senior Notes Due 2026 will mature on March 31, 2026, unless earlier repurchased or redeemed. The 7.00% Senior Notes Due 2026 bear interest at a rate of 7.00% per annum, payable on March 30, June 30, September 30 and December 30 of each year. The 7.00% Senior Notes Due 2026 are Terra LLC’s direct unsecured obligations and rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by Terra LLC; effectively subordinated in right of payment to any of Terra LLC’s existing and future secured indebtedness to the extent of the value of the assets securing such indebtedness; and structurally subordinated to all existing and future indebtedness and other obligations of any of Terra LLC’s subsidiaries and financing vehicles. Terra LLC may redeem the 7.00% Senior Notes Due 2026 in whole or in part at any time on or after February 10, 2023, at a redemption price equal to 100% of the outstanding principal amount thereof, plus accrued and unpaid interest. The TIF6 Indenture contains certain covenants that, among other things, limit the ability of Terra LLC, subject to exceptions, to incur indebtedness in violation of the Investment Company Act of 1940, as amended, and to make distributions, incur indebtedness or repurchase shares of Terra LLC’s capital stock unless it satisfies asset coverage requirements set forth in the First Supplemental Indenture after giving effect to such transaction. The TIF6 Indenture also provides for customary events of default which, if any of them occurs, would permit or require the principal of and accrued interest on the 7.00% Senior Notes Due 2026 to become or to be declared due and payable. Summarized Information The table below presents detailed information regarding the unsecured notes payable as of: December 31, 2022 December 31, 2021 Principal Balance Carrying Value Fair Value Principal Balance Carrying Value Fair Value 6.00% Senior Notes Due 2026 (1) $ 85,125,000 $ 82,487,769 $ 68,100,000 $ 85,125,000 $ 81,856,799 $ 85,210,125 7.00% Senior Notes Due 2026 (2) 38,375,000 34,042,904 35,381,748 — — — $ 123,500,000 $ 116,530,673 $ 103,481,748 $ 85,125,000 $ 81,856,799 $ 85,210,125 _______________ (1) Carrying value is net of unamortized issue discount of $1.9 million and $2.4 million, and unamortized deferred financing costs of $0.7 million and $0.9 million as of December 31, 2022 and 2021, respectively. (2) Carrying value is net of unamortized purchase discount of $4.3 million as of December 31, 2022. Revolving Line of Credit On March 12, 2021, Terra Mortgage Portfolio II, LLC, an indirect wholly-owned subsidiary of the Company, entered into a Business Loan and Security Agreement (the “Revolving Line of Credit”) with Western Alliance Bank (“WAB”) to provide for advances up to the lesser of $75.0 million or the amount determined by the borrowing base, which is based on the eligible assets pledged to the lender. Borrowings under the Revolving Line of Credit bear interest at an annual rate of LIBOR + 3.25% with a combined floor of 4.0% per annum. The Revolving Line of Credit was scheduled to mature on March 12, 2023. On January 4, 2022, the Company amended the Revolving Line of Credit to increase the maximum amount available to $125.0 million and extended the maturity date of the facility to March 12, 2024 with an annual 12-month extension available at the Company’s option, which are subject to certain conditions. On August 3, 2022, the Company further amended the Revolving Line of Credit to increase the borrowing sub-limit in New York City and to allow for loans acquired through participation agreements as eligible assets. In connection with the Revolving Line of Credit, the Company entered into a limited guaranty (the “Guaranty”) in favor of WAB, pursuant to which the Company guarantees the payment of up to 25% of the amount outstanding under the Revolving Line of Credit. Under the Revolving Line of Credit and the Guaranty, the Company is required to maintain (i) a minimum total net worth of $250.0 million; (ii) a $3.5 million quarterly operating profit, as defined within the agreement; and (iii) a ratio of total debt to total net worth of no more than 2.50 to 1.00. As of December 31, 2022 and 2021, the Company was in compliance with these covenants. The Revolving Line of Credit contains terms, conditions, covenants, and representations and warranties that are customary and typical for a transaction of this nature. The Revolving Line of Credit contains various affirmative and negative covenants, including maintenance of a debt to total net worth ratio and limitations on the incurrence of liens and indebtedness, loans, distributions, change of management and ownership, changes in the nature of business and transactions with affiliates. The Revolving Line of Credit also includes customary events of default, including a cross-default provision applicable to debt obligations of Terra Mortgage Portfolio II, LLC or the Company. The occurrence of an event of default may result in termination of the Revolving Line of Credit and acceleration of amounts due under the Revolving Line of Credit. In connection with the closing of the Revolving Line of Credit, the Company also incurred financing fees of $0.6 million, to be amortized to interest expense over the life of the Revolving Line of Credit. As of December 31, 2022 and 2021, borrowings under the Revolving Line of Credit were $90.1 million and $38.6 million, respectively, collateralized by $177.4 million and $60.1 million of eligible assets, respectively. For the years ended December 31, 2022 and 2021, the Company received proceeds from the Revolving Line of Credit of $130.5 million and $38.6 million, respectively, and made repayments of $79.0 million and none, respectively. Term Loan On September 3, 2020, Terra Mortgage Capital I, LLC (the “Issuer”), a special-purpose indirect wholly-owned subsidiary of the Company, entered into an Indenture and Credit Agreement (the “Indenture and Credit Agreement”) with Goldman Sachs Bank USA, as initial lender (“Goldman”) and Wells Fargo Bank, National Association, as the trustee, custodian, collateral agent, loan agent and note administrator (“Wells Fargo”). The Indenture and Credit Agreement provided for (A) the borrowing by the Issuer from Goldman of approximately $103.0 million under a floating rate loan (the “Term Loan”) and (B) the issuance by the Issuer to Terra Mortgage Portfolio I, LLC (the “Class B Holder”) of an aggregate of approximately $76.7 million principal amount of Class B Income Notes due 2025 (the “Class B Notes” and, together with the Term Loan, the “Debt”). The stated maturity date of the Debt was March 14, 2025. On February 18, 2022, the Company refinanced the Term Loan with a new repurchase agreement (see “ Goldman Master Repurchase Agreement ” below). The Term Loan bore interest at a variable rate initially equal to LIBOR (the “Benchmark Rate”) (but not less than 1.0% per annum), plus a margin of 4.25% per annum (plus 0.50% on and after the payment date in October 2022, plus 0.25% on and after the payment date in October 2023), payable each month, on the day specified in the Indenture and Credit Agreement beginning in September 2020 (each a “Payment Date”). The Company accounted for the step-up in interest rate using the effective interest rate method. In connection with the refinancing, the Company reversed the previously accrued step-up interest of $0.4 million. In connection with the Indenture and Credit Agreement, the Company entered into a non-recourse carveout Guaranty (the “Guaranty”) in favor of Goldman, pursuant to which the Company guaranteed the payment of certain losses, damages, costs, expenses, and other obligations incurred by Goldman in connection with the occurrence of fraud, intentional misrepresentation, or willful misconduct by the Issuer, Class B Holder or the Company, and certain other occurrences including breaches of certain provisions under the Indenture and Credit Agreement. The Company also guaranteed the payment of the aggregate outstanding amount of the Term Loan upon the occurrence of certain bankruptcy events. Under the Guaranty, the Company was required to maintain (a) a minimum tangible net worth in an amount not less than seventy-five percent (75%) of its tangible net worth as of September 3, 2020, (b) a minimum liquidity of $10 million, and (c) an EBITDA to interest expense ratio of not less than 1.5 to 1.0. Failure to satisfy such maintenance covenants would constitute an event of default under the Indenture and Credit Agreement. On February 18, 2022, the Company refinanced the Term Loan with a new repurchase agreement and expects continued covenant compliance under the terms of the new repurchase agreement. The following table presents detailed information with respect to each borrowing under the Term Loan as of: December 31, 2021 Mortgage Assets Borrowings Under the Term Loan (1)(2) Principal Amount Carrying Value Fair 330 Tryon DE LLC $ 22,800,000 $ 22,902,354 $ 22,594,654 $ 13,680,000 1389 Peachtree St, LP; 1401 Peachtree St, LP; and 53,289,288 53,536,884 52,031,363 31,283,661 AGRE DCP Palm Springs, LLC 43,222,381 43,669,992 43,829,842 23,146,265 Patrick Henry Recovery Acquisition, LLC 18,000,000 18,041,124 18,055,377 10,800,000 University Park Berkeley, LLC 25,815,378 25,991,962 26,015,500 14,853,544 $ 163,127,047 $ 164,142,316 $ 162,526,736 $ 93,763,470 For the years ended December 31, 2022 and 2021, the Company made repayments on borrowings under the Term Loan of $93.8 million and $16.6 million, respectively, and received proceeds from borrowings under the Term Loan of none and $2.8 million, respectively. Repurchase Agreements UBS Master Repurchase Agreement On November 8, 2021, Terra Mortgage Capital III, LLC (the “Seller”), a special-purpose indirect wholly-owned subsidiary of the Company, entered into an Uncommitted Master Repurchase Agreement (the “UBS Master Repurchase Agreement”) with UBS AG ( the “Buyer”). The UBS Master Repurchase Agreement provides for advances of up to $195 million in the aggregate, which the Company expects to use to finance certain secured performing commercial real estate loans, including senior mortgage loans, where the underlying mortgaged properties consist of value-added assets with loan-to-value ratio between 65% and 80% that are typically yielding between 2.5% and 5.0%. Advances under the UBS Master Repurchase Agreement accrue interest at a per annum pricing rate equal to the sum of (i) the 30-day LIBOR or Term SOFR if LIBOR is not available and (ii) the applicable spread, which ranges from 1.60% to 2.25%, and have a maturity date of November 7, 2024. The actual terms of financing for each asset will be determined at the time of financing in accordance with the UBS Master Repurchase Agreement. Subject to satisfaction of certain conditions, the Seller may extend the maturity date of the UBS Master Repurchase Agreement annually thereafter on mutually agreeable terms. In connection with the UBS Master Repurchase Agreement, the Company incurred deferred financing costs of $0.6 million, which are being amortized to interest expense over the term of the facility. The UBS Master Repurchase Agreement contains margin call provisions that provide the Buyer with certain rights in the event of a decline in the credit of the underlying assets purchased under the UBS Master Repurchase Agreement. Upon the occurrence of a margin deficit event, the Buyer may require the Seller to make a payment to reduce the purchase price to eliminate any margin deficit. In connection with the UBS Master Repurchase Agreement, the Company entered into a Guarantee Agreement in favor of the Buyer (the “UBS Guarantee Agreement”), pursuant to which the Company will guarantee the payment of up to 25% of the amount outstanding under the UBS Master Repurchase Agreement. The UBS Master Repurchase Agreement and the UBS 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 UBS Guarantee Agreement contains financial covenants, which require the Company to maintain: (i) cash liquidity of at least the greater of $5 million or 5% of the then-current outstanding amount under the UBS Master Repurchase Agreement; (ii) total liquidity of at least the greater of $15 million or 10% of the then-current outstanding amount under the UBS Master Repurchase Agreement (iii) tangible net worth at an amount equal to or greater than $215.7 million 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 3.50 to 1.00. In March 2022, the Company amended the UBS Guarantee Agreement to reduce the EBITDA to interest expense ratio of not less than 1.25 to 1.00, and as of December 31, 2022 and 2021, the Company was in compliance with these covenants. The following tables present detailed information with respect to each borrowing under the UBS Master Repurchase Agreement as of: December 31, 2022 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest NB Factory TIC 1, LLC $ 28,000,000 $ 28,857,892 $ 28,902,234 11/8/2021 $ 18,970,000 LIBOR+1.74% (LIBOR floor of 0.1%) Grandview’s Madison Place, LLC 17,000,000 17,105,928 17,105,928 3/7/2022 13,600,000 Term SOFR + 1.965% Grandview’s Remington Place, 23,100,000 23,199,620 23,203,343 5/6/2022 18,480,000 Term SOFR + 1.965% $ 68,100,000 $ 69,163,440 $ 69,211,505 $ 51,050,000 December 31, 2021 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 14th & Alice Street Owner, LLC $ 39,384,000 $ 40,089,153 $ 40,130,448 11/8/2021 $ 25,599,600 LIBOR+1.45% (LIBOR floor of 0.1%) NB Factory TIC 1, LLC 28,000,000 28,420,056 28,851,547 11/8/2021 18,970,000 LIBOR+1.74% (LIBOR floor of 0.1%) $ 67,384,000 $ 68,509,209 $ 68,981,995 $ 44,569,600 For the years ended December 31, 2022 and 2021, the Company borrowed $32.1 million and $44.6 million, respectively, under the UBS Master Repurchase Agreement for the financing of new investments, and made repayments of $25.6 million and $0.0 million, respectively. Goldman Master Repurchase Agreement On February 18, 2022, Terra Mortgage Capital I, LLC (the “GS Seller”), a special-purpose indirect wholly-owned subsidiary of the Company, entered into an Uncommitted Master Repurchase and Securities Contract Agreement (the “Repurchase Agreement”) with Goldman Sachs Bank USA ( the “GS Buyer”). The Repurchase Agreement provides for advances of up to $200.0 million in the aggregate, which the Company expects to use to finance the originations of certain secured performing commercial real estate loans and the acquisitions of certain secured non-performing commercial real estate loans. The Repurchase Agreement replaced the Term Loan, at which time all Mortgage Assets under the Term Loan were assigned as purchased assets under the Repurchase Agreement. Advances under the Repurchase Agreement accrue interest at a per annum pricing rate equal to the sum of (i) Term SOFR (subject to underlying loan floors on a case-by-case basis) and (ii) the applicable spread, which ranges from 1.75% to 3.00%, and have a maturity date of February 18, 2024. The actual terms of financing for each asset will be determined at the time of financing in accordance with the Repurchase Agreement. Subject to satisfaction of certain conditions, the GS Seller may extend the maturity date of the Repurchase Agreement for another 12-month term. In connection with the Repurchase Agreement, the Company incurred financing costs of $0.6 million, which are being amortized to interest expense over the term of the facility. Additionally, because the Repurchase Agreement was accounted for as a loan modification of the Term Loan, the remaining unamortized deferred financing fees of $1.7 million under the Term Loan were carried over to the Repurchase Agreement to be amortized over the life of the Repurchase Agreement. The Repurchase Agreement contains margin call provisions that provide the GS Buyer with certain rights in the event of a decline in debt yield, loan-to-value ratio, and value of the underlying loans purchased under the Repurchase Agreement. Upon the occurrence of a margin deficit event, the GS Buyer may require the GS Seller to make a payment to reduce the purchase price to eliminate any margin deficit. In connection with the Repurchase Agreement, the Company entered into a Guarantee Agreement in favor of the GS Buyer (the “Guarantee Agreement”), pursuant to which the Company will guarantee the obligations of the GS Seller under the Repurchase Agreement. Subject to certain exceptions, the maximum liability under the Repurchase Agreement will not exceed 25% of the then currently outstanding repurchase obligations for performing loans and 50% of the then currently outstanding repurchase obligations for non-performing loans under the Repurchase Agreement. The 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) cash liquidity of at least the greater of $5 million or 5% of the then-current outstanding amount under the Repurchase Agreement; (ii) total liquidity in an amount equal to or greater than the lesser of $15 million or 10% of the then-current outstanding amount under the Repurchase Agreement (iii) tangible net worth at an amount no less than 75% of that at closing; (iv) an EBITDA to adjusted 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 December 31, 2022, the Company was in compliance with these covenants. The following table presents detailed information with respect to each borrowing under the Repurchase Agreement as of: December 31, 2022 Collateral Borrowings Under Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 330 Tryon DE LLC $ 22,800,000 $ 22,902,215 $ 22,687,235 2/18/2022 $ 18,240,000 Term SOFR + 2.015% (0.01% floor) 1389 Peachtree St, LP; 1401 Peachtree St, LP; and 57,184,178 57,453,482 56,844,322 2/18/2022 41,587,275 Term SOFR + 2.465% AGRE DCP Palm Springs, LLC 43,222,382 43,758,804 43,062,933 2/18/2022 28,094,548 Term SOFR + 1.315% (1.8% floor) Patrick Henry Recovery Acquisition, LLC 18,000,000 18,041,782 17,824,300 2/18/2022 14,400,000 Term SOFR +0.865% (1.5% floor) University Park Berkeley, LLC 26,342,468 26,536,122 26,472,938 2/18/2022 17,504,783 Term SOFR + 1.365% (1.5% floor) $ 167,549,028 $ 168,692,405 $ 166,891,728 $ 119,826,606 For the year ended December 31, 2022, the Company borrowed $119.8 million under the Repurchase Agreement and did not make any repayments. Delayed Draw Term Loan As previously reported by Terra BDC, on April 9, 2021, Terra BDC, as borrower, entered into a credit agreement (the “Credit Agreement”) with Eagle Point Credit Management LLC, as the administrative agent and collateral agent (“Eagle Point”), and certain funds and accounts managed by Eagle Point, as lenders (in such capacity, collectively, the “Lenders”). The Credit Agreement provides for (i) a delayed draw term loan of $25.0 million and (ii) additional incremental loans in a minimum amount of $1.0 million and multiples of $0.5 million in excess thereof, which may be approved by a Lender in its sole discretion (the “Delayed Draw Tern Loan”). The scheduled maturity date of the Delayed Draw Tern Loan was April 9, 2025. The Delayed Draw Tern Loan bears interest on the outstanding principal amount thereof at a rate equal to 5.625% per annum; provided that if at any time Terra BDC was rated below investment grade, the interest rate would increase to 6.625% until the rating is no longer below investment grade. In connection with the entry into the Credit Agreement, Terra BDC also agreed to pay Eagle Point an upfront fee in an amount equal to 2.50% of the loan commitment amount on the initial borrowing date as described in the Credit Agreement. Terra BDC also paid, with respect to any unused portion of the Term Loan, a commitment fee of 0.75% per annum. Terra BDC could prepay any Loan, in whole or in part, together with all accrued but unpaid interest thereon, upon at least 30 but not more than 60 days’ prior notice to the Agent. If Terra BDC elected to make such prepayments prior to October 9, 2023, Terra BDC would also be required to pay a make whole premium, being the present value at such date of (1) the principal amount being prepaid of such Loan, plus (2) all remaining required interest payments due on the principal amount being prepaid of such Loan through the maturity date (excluding accrued but unpaid interest to the date on which the make whole premium becomes owed), computed using a discount rate equal to the applicable U.S. Treasury rate (as set forth in the Credit Agreement) plus 50 basis points, over (B) the principal amount being prepaid of such Loan; provided that the make whole premium may in no event be less than zero. In connection with its entry into the Credit Agreement, Terra BDC also entered into a security agreement (the “Security Agreement”), by and among Terra BDC, as grantor, and Eagle Point, as administrative agent, for the benefit of the Lenders, their affiliates and Eagle Point as the secured parties thereunder. Pursuant to the Security Agreement, Terra BDC pledged substantially all of its then owned and thereafter acquired property as security for the obligations of Terra BDC under the Credit Agreement, subject to certain limitations and restrictions set forth in the Security Agreements. On September 27, 2022, Terra BDC, Terra LLC, Eagle Point and the Lenders entered into a Consent Letter and Amendment (the “Credit Facility Amendment”) effective October 1, 2022. Pursuant to the Credit Facility Amendment (i) Eagle Point and the Lenders consented to the consummation of the BDC Merger and the assumption by Terra LLC of all of the obligations of Terra BDC under the Credit Agreement, (ii) and the Credit Agreement was amended to, among other things, change the scheduled maturity date to July 1, 2023, and remove the make whole premium on voluntary prepayments of the loans. The Credit Agreement contains customary representations, warranties, reporting requirements, borrowing conditions and affirmative, negative and financial covenants. As of December 31, 2022, Terra LLC was in compliance with these covenants. Mortgage Loan Payable As of December 31, 2022, the Company had a $29.3 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: December 31, 2022 December 31, 2021 Lender Current Maturity Principal Amount Carrying Value Carrying Value of Principal Amount Carrying Value Carrying Value of Centennial Bank LIBOR + 3.85% (LIBOR Floor of 2.23%) May 31, 2023 $ 29,252,308 $ 29,488,326 $ 40,581,847 $ 31,962,692 $ 32,134,295 $ 46,067,129 Scheduled Debt Principal Payments Scheduled debt principal payments for each of the five calendar years following December 31, 2022 are as follows: Years Ending December 31, Total 2023 $ 54,252,308 2024 261,012,472 2025 — 2026 123,500,000 2027 — Thereafter — 438,764,780 Unamortized deferred financing costs (8,633,623) Total $ 430,131,157 At December 31, 2022 and 2021, the unamortized deferred debt issuance costs were $8.6 million and $5.9 million, respectively. Obligations Under Participation Agreements and Secured Borrowing As discussed in Note 2 , the Company follows the guidance in ASC 860 when accounting for loan participations and loans sold. Such guidance requires the transferred interests meet certain criteria in order for the transaction to be recorded as a sale. Loan participations and loans transferred 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 or secured borrowing, as applicable. As of December 31, 2022 and 2021, obligations under participation agreements had a carrying value of approximately $12.7 million and $42.2 million, respectively, and the carrying value of the loans that are associated with these obligations under participation agreements was approximately $18.7 million and $101.0 million, respectively, (see “ Participation Agreements ” in Note 8

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies 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 $47.3 million and $71.8 million as of December 31, 2022 and 2021, respectively. The Company expects to maintain sufficient cash on hand to fund such commitments through matching these commitments with principal repayments on outstanding loans or draw downs on credit facilities. Unfunded Investment Commitment As discussed in Note 5 , on August 3, 2020, the Company entered into a subscription agreement with RESOF whereby the Company committed to fund up to $50.0 million to purchase limited partnership interests in RESOF. As of December 31, 2022 and 2021, the unfunded investment commitment was $22.4 million and $15.1 million, respectively. 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. From time to time, the Company and the Manager 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. Additionally, as described above under “ Note 6 . Real Estate Owned, Net—Real Estate Operating Revenue and Expenses,” as of December 31, 2022, the Company owned a multi-tenant office building that is subject to a ground lease. The ground lease 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, 2025. The Company is currently litigating with the landlord with respect to the appropriate method for determining the fair value of the land for purposes of setting the ground rent – Terra Ocean Ave., LLC v. Ocean Avenue Santa Monica Realty LLC, Superior Court of California, Los Angeles County, Case No. 20STCV34217. The Company believes this determination should be based on comparable sales, while the landlord insists that the rent under the ground lease itself is also relevant. The Company’s position has prevailed in all three of the prior arbitrations to reset the ground rent. Since future rent reset determinations under the ground lease cannot be known at this time, the Company did not include any potential future rent increases in calculating the present value of future rent payments. The Company intends vigorously to pursue the litigation. While the Company believes its arguments will likely prevail, the outcome of the legal proceeding cannot be predicted with certainty. If the landlord prevails, the future rent reset determinations could result in significantly higher ground rent, which would likely result in a significant diminution in the value of the Company’s interest in the ground lease and the office building. See Note 8 for a discussion of the Company’s commitments to the Manager.

Equity

Equity	12 Months Ended
	Dec. 31, 2022
Equity [Abstract]
Equity	Equity Earnings Per Share The following table presents earnings per share: Years Ended December 31, 2022 2021 Net loss $ (6,951,693) $ (12,355,727) Series A preferred stock dividend declared (15,624) (15,624) Net loss allocable to common stock $ (6,967,317) $ (12,371,351) Weighted-average shares outstanding - basic and diluted 20,709,400 19,487,460 Loss per share - basic and diluted $ (0.34) $ (0.63) 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 Board 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 December 31, 2022 and 2021, there were no Preferred Stock issued or outstanding other than the Series A Preferred Stock (defined below). Series A Preferred Stock On November 30, 2016, the Board 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 Stockholders’ 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 On October 1, 2022, in connection with the BDC Merger, the Company amended its charter to increase the shares authorized from 500,000,000 to 950,000,000, consisting of 450,000,000 shares of Class A Common Stock, $0.01 par value per share (“Class A Common Stock”), 450,000,000 shares of Class B Common Stock, $0.01 par value per share (“Class B Common Stock”), and 50,000,000 shares of Preferred Stock. Concurrently, 4,847,910 shares of Class B Common Stock were issued to former Terra BDC stockholders and each share of the Company’s common stock issued and outstanding immediately prior to the effective time of the BDC Merger was automatically changed into one issued and outstanding share of Class B Common Stock. As of December 31, 2022, Terra JV, LLC, former shareholders of Terra BDC and Terra Offshore Funds REIT, LLC held 70.0%, 19.9% and 10.1% of the issued and outstanding shares of the Class B Common Stock, respectively. The Class B Common Stock rank equally with and have identical preferences, rights, voting powers, restrictions, limitations as to dividends and other distributions, qualifications, and terms and conditions of redemption as each other share of the Company’s common stock, except as set forth below with respect to conversion. On the date that is 180 calendar days (or, if such date is not a business day, the next business day) after the date (the “First Conversion Date”) of initial listing of shares of Class A Common Stock for trading on a national securities exchange or such earlier date as approved by the Board, one-third of the issued and outstanding shares of Class B Common Stock will automatically and without any action on the part of the holder thereof convert into an equal number of shares of Class A Common Stock. On the date that is 365 calendar days (or, if such date is not a business day, the next business day) after the date of initial listing of shares of Class A Common Stock for trading on a national securities exchange or such earlier date following the First Conversion Date as approved by the Board (the “Second Conversion Date”), one-half of the issued and outstanding shares of Class B Common Stock will automatically and without any action on the part of the holder thereof convert into an equal number of shares of Class A Common Stock. On the date that is 545 calendar days (or, if such date is not a business day, the next business day) after the date of initial listing of shares of Class A Common Stock for trading on a national securities exchange or such earlier date following the Second Conversion Date as approved by the Board, all of the issued and outstanding shares of Class B Common Stock will automatically and without any action on the part of the holder thereof convert into an equal number of shares of Class A Common Stock. 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 Board and will depend upon its taxable income, financial condition, maintenance of REIT status, applicable law, and other factors as the Board deems relevant. For the years ended December 31, 2022 and 2021, the Company made distributions to investors totaling $16.0 million and $17.1 million, respectively, of which $6.5 million and $14.6 million were returns of capital, respectively. Additionally, for each of the years ended December 31, 2022 and 2021, the Company made distributions to preferred stockholders of $15,624. Distributions paid to stockholders consist of ordinary income, capital gains, return of capital or a combination thereof for income tax purposes. The following table presents distributions per share, declared and paid during the years ended December 31, 2022 and 2021, reported for federal tax purposes and serves as a designation of capital gain distributions, if applicable, pursuant to Section 857(b)(3)(C) of the Internal Revenue Code and Treasury Regulation § 1.857-6(e): Years Ended December 31, 2022 2021 Ordinary income $ 0.47 $ 0.07 Capital gain — 0.06 Return of capital 0.31 0.75 $ 0.78 $ 0.88

Subsequent Events

Subsequent Events	12 Months Ended
	Dec. 31, 2022
Subsequent Events [Abstract]
Subsequent Events	Note 12. 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 other than the ones below that would require adjustment to, or disclosure in, the Company’s consolidated financial statements. On January 20, 2023, the Board adopted a distribution reinvestment plan (the “Plan”), pursuant to which the Company’s stockholders may elect to reinvest cash distributions payable by the Company in additional shares of Class A Common Stock and Class B Common Stock, at the price per share determined pursuant to the Plan.

Schedule III _ Real Estate and

Schedule III – Real Estate and Accumulated Depreciation	12 Months Ended
	Dec. 31, 2022
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract]
Schedule III – Real Estate and Accumulated Depreciation	Schedule III – Real Estate and Accumulated Depreciation As of December 31, 2022 Initial Costs Cost Capitalized Subsequent to Acquisition Decrease in Net Investment (1) Gross Amount at Period End Description Encumbrance Land Building and Building Improvements Land Building and Building Improvements Total Accumulated Depreciation Date of Construction Date Acquired Life Used for Depreciation Office building $ 29,252,308 $ — $ 51,308,076 $ 2,508,533 $ — $ — $ 53,816,609 $ 53,816,609 $ 7,156,383 2002-2004 July 30, 2018 40 years Land in — 14,703,359 — 242,071 (14,945,430) — — — — N/A January 9, 2019 N/A $ 29,252,308 $ 14,703,359 $ 51,308,076 $ 2,750,604 $ (14,945,430) $ — $ 53,816,609 $ 53,816,609 $ 7,156,383 ___________________________ (1) For the year ended December 31, 2019, the Company recorded an impairment charge of $1.5 million on the land in order to reduce the carrying value of the land to its estimated fair value, which was the then estimated selling price less the cost of sale. For the year ended December 31, 2021, the Company recorded another impairment charge of $3.4 million to reflect the current estimated selling price less the cost of sale. For the period from January 1, 2022 through the date the land was sold in June 2022, the Company recorded another impairment charge of $1.6 million to reflect the current estimated selling price less the cost of sale. In June 2022, the Company sold land for net proceeds of $8.6 million, and recognized a net loss on sale of $0.1 million. At December 31, 2022, the aggregate cost of real estate for federal income tax purposes was $57.6 million. The changes in total real estate assets and accumulated depreciation are as follows: Real Estate Asset Accumulated Depreciation Year Ended Year Ended Balance, beginning of year $ 63,816,609 Balance, beginning of year $ 5,491,541 Sale of land (8,395,011) Depreciation for the year 1,664,842 Impairment charge (1,604,989) Balance, end of year $ 7,156,383 Balance, end of year $ 53,816,609

Schedule IV _ Mortgage Loans on

Schedule IV – Mortgage Loans on Real Estate	12 Months Ended
	Dec. 31, 2022
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]
Schedule IV – Mortgage Loans on Real Estate	Schedule IV – Mortgage Loans on Real Estate As of December 31, 2022 Portfolio Company (1) Collateral Location Property Type Interest Payment Rates Maximum Maturity Date (2) Periodic Payment Terms Prior Liens Face Amount Carrying Amount Mezzanine Loans: 150 Blackstone River Road, LLC US - MA Industrial 8.5 % 9/6/2027 Interest Only $ — $ 7,000,000 $ 7,000,000 610 Walnut Investors LLC (3)(4) US - CA Office Term SOFR + 12.0% (2.0% Floor) 9/7/2025 Interest Only — 18,625,738 18,738,386 Dwight Mezz II, LLC US - CA Student 11.0 % 5/6/2027 Interest Only — 3,000,000 2,916,369 Havemeyer TSM LLC (5) US - NY Mixed-use 15.0 % 6/1/2023 Interest Only — 3,282,208 3,313,813 UNJ Sole Member, LLC (5) US - CA Mixed-use 15.0 % 6/1/2027 Interest Only — 7,444,357 7,482,547 39,352,303 39,451,115 First Mortgages: 14th & Alice Street Owner, LLC (6) US - CA Multifamily LIBOR + 4.0% (0.25% Floor) 4/15/2024 Interest Only — 1,364,944 1,364,944 1389 Peachtree St, LP; 1401 Peachtree St, LP; US - GA Office LIBOR + 4.5% 8/10/2024 Interest Only — 57,184,178 57,453,482 330 Tryon DE LLC US - NC Office Term SOFR + 4.25% (0.1% Floor) 3/1/2024 Interest Only — 22,800,000 22,902,215 AGRE DCP Palm Springs, LLC US - CA Hotel - full/select service LIBOR + 5.0% (1.8% Floor) 1/1/2025 Interest Only — 43,222,382 43,758,804 AARSHW Property LLC (7) US - NJ Industrial SOFR + 7.5% (0.15% Floor) 8/17/2025 Interest Only — 44,368,331 44,669,513 AAESUF Property LLC US - NJ Land SOFR + 11.95% (0.05% Floor) 3/1/2025 Interest Only — 17,860,291 18,288,969 American Gilsonite Company US - UT Infrastructure 14.0 % 8/31/2024 Interest Only — 21,250,000 21,840,359 Dallas - Big Town Owner, LLC US - TX Industrial Term SOFR + 4.5% (2.5% Floor) 12/27/2027 Interest Only — 26,635,183 26,838,830 Dallas - Oakland Owner, LLC US - TX Industrial Term SOFR + 4.5% (2.5% Floor) 12/27/2027 Interest Only — 9,673,597 9,747,559 Dallas - US HWY 80 Owner, LLC US - TX Industrial Term SOFR + 4.5% (2.5% Floor) 12/27/2027 Interest Only — 11,395,169 11,482,294 Dallas - 11333 Pagemill Owner, LLC US - TX Industrial Term SOFR + 4.5% (2.5% Floor) 12/27/2027 Interest Only — 12,296,945 12,390,965 Dallas - 11221 Pagemill Owner, LLC US - TX Industrial Term SOFR + 4.5% (2.5% Floor) 12/27/2027 Interest Only — 7,624,106 7,682,398 Terra Property Trust, Inc. Schedule IV – Mortgage Loans on Real Estate (Continued) As of December 31, 2022 Portfolio Company (1) Collateral Location Property Type Interest Payment Rates Maximum Maturity Date (2) Periodic Payment Terms Prior Liens Face Amount Carrying Amount First Mortgages (Continued): Grandview's Madison Place, LLC US - WA Multifamily Term SOFR + 4.45% (0.05% Floor) 2/10/2027 Interest Only $ — $ 17,000,000 $ 17,105,928 Grandview's Remington Place, LLC US - WA Multifamily Term SOFR + 4.45% (0.05% Floor) 4/22/2026 Interest Only — 23,100,000 23,199,620 Hillsborough Owners LLC US - NC Mixed-use LIBOR + 8.0% (0.25%% Floor) 11/1/2024 Interest Only — 20,720,028 21,138,947 Mesa AZ Industrial Owner, LLC US - AZ Land Term SOFR + 12.7% (2.3% Floor) 9/14/2024 Interest Only — 31,000,000 31,276,468 NB Factory TIC 1, LLC US - UT Student LIBOR +5.0% (0.25% Floor) 3/5/2024 Interest Only — 28,000,000 28,857,892 Patrick Henry Recovery Acquisition, LLC US - CA Office LIBOR + 2.95% (1.5% Floor) 12/1/2024 Interest Only — 18,000,000 18,041,782 The Lux Washington, LLC US - WA Multifamily LIBOR +7.0% (0.75% Floor) 1/22/2026 Interest Only — 16,571,267 16,722,091 University Park Berkeley, LLC US - CA Multifamily LIBOR + 4.2% (1.5% Floor) 3/1/2025 Interest Only — 26,342,468 26,536,122 456,408,889 461,299,182 Preferred equity investments: 370 Lex Part Deux, LLC (8) US - NY Office LIBOR +8.25% (2.44% Floor) 7/9/2022 Interest Only — 67,586,792 67,586,792 Ann Street JV LLC US - GA Multifamily 14.0 % 6/27/2026 Interest Only — 15,217,540 15,648,482 Asano Bankers Hill, LLC US - CA Mixed-use SOFR + 15.0% (0.25% Floor) 7/31/2025 Interest Only — 17,450,623 17,920,424 REEC Harlem Holdings Company LLC (9) US - NY Mixed-use LIBOR + 12.5% 3/9/2025 Interest Only — 15,983,234 15,983,234 RS JZ Driggs, LLC (10) US - NY Multifamily 12.3 % 8/1/2021 Interest Only — 4,993,245 4,993,245 121,231,434 122,132,177 Credit facility: William A. Shopoff & Cindy I. Shopoff (11) US-CA Industrial 15.0 % 4/4/2023 Interest Only — 28,802,833 29,080,183 28,802,833 29,080,183 Allowance for loan losses — (25,471,890) Total investments $ 645,795,459 $ 626,490,767 ___________________________ (1) All of the Company’s loans have a prepayment penalty provision. (2) Maximum maturity date assumes all extension options are exercised. (3) The Company sold a portion of its interest in this loan through a participation agreement to a third party ( Note 8 ). (4) The loan participations from the Company do not qualify for sale accounting under ASC 860 and therefore, the gross amount of these loans remain in Schedule IV. See “ Obligations under Participation Agreement and Secured Borrowing ” in Note 9 and “ Transfers of Participation Interest by the Company ” in Note 8 in the accompanying notes to the consolidated financial statements. (5) The Company purchased a portion of its interest in this loan through a participation agreement. Participation interest is with RESOF REIT, a related-party real estate investment trust managed by the Manager ( Note 8 ). (6) This loan is classified as a TDR. The Company does not anticipate a full recovery of the remaining principal balance, as such, the loan is fully reserved. (7) Amount included $4.0 million of incremental borrowing that bears interest at an annual rate of 20.0% until certain conditions are met, at which time the interest rate will be the same as the original loan. (8) This loan is currently in maturity default. For the year ended December 31, 2022, the Company suspended interest income accrual of $3.7 million on this loan, because recovery of such income was doubtful. As of December 31, 2022, the Company recorded a specific allowance for loan losses of $11.2 million on the loan as a result of a decline in the fair value of the collateral. (9) For the year ended December 31, 2022, the Company suspended interest income accrual of $2.9 million on this loan, because recovery of such income was doubtful. As of December 31, 2022, the Company recorded a specific allowance for loan losses of $12.9 million on the loan as a result of a decline in the fair value of the collateral. (10) This loan is in maturity default. the Company initiated a litigation to seek full repayment of the loan from the sponsor. For the year ended December 31, 2022, the Company suspended interest income accrual of $2.0 million on this loan, because recovery of such income was doubtful. (11) Amount included $3.0 million of incremental borrowing that bears interest at an annual rate of Term SOFR plus 7.0% with a SOFR floor of 4.30%. Notes to Schedule IV - Mortgage Loans on Real Estate December 31, 2022 Reconciliation of Mortgage Loans Year Ended December 31, 2022 Balance, beginning of year $ 469,673,314 Additions during the period: New mortgage loans 290,005,676 Loans acquired and contributed in the BDC Merger 74,818,438 Accrual, payment and accretion of investment-related fees and other, net 1,847,999 Deductions during the period: Collections of principal (197,484,239) Provision for loan losses (11,813,409) Amortization of premium (557,012) Balance, end of year $ 626,490,767

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include all of the Company’s accounts and those of its consolidated subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Certain prior period amounts have been reclassified to conform to the current period presentation. The Company consolidates entities in which it has a controlling financial interest based on either the variable interest entity (“VIE”) or voting interest model. The Company is required to first apply the VIE model to determine whether it holds a variable interest in an entity, and if so, whether the entity is a VIE. If the Company determines it does not hold a variable interest in a VIE, it then applies the voting interest model. Under the voting interest model, the Company consolidates an entity when it holds a majority voting interest in an entity. The Company accounts for investments in which it has significant influence but not a controlling financial interest using the equity method of accounting (see Note 5 ). VIE Model An entity is considered to be a VIE if any of the following conditions exist: (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support, (b) the holders of the equity investment at risk, as a group, lack either the direct or indirect ability through voting rights or similar rights to make decisions that have a significant effect on the success of the entity or the obligation to absorb the entity’s expected losses or right to receive the entity’s expected residual returns, or (c) the voting rights of some equity investors are disproportionate to their obligation to absorb losses of the entity, their rights to receive returns from an entity, or both and substantially all of the entity’s activities either involve or are conducted on behalf of an investor with disproportionately few voting rights.
Loans Held for Investment	Loans Held for Investment The Company originates, acquires, and structures, or acquired through participations, real estate-related loans generally to be held to maturity (collectively the “loans”). 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.
Troubled Debt Restructuring Policy	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 (“TDRs”) 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.
Equity Investment in Unconsolidated Investments	Equity Investment in Unconsolidated Investments The Company accounts for its equity interests in unconsolidated investments under the equity method of accounting, i.e., at cost, increased or decreased by its share of earnings or losses, less distributions, plus contributions and other adjustments required by equity method accounting. The Company evaluates its equity investment unconsolidated investments on a periodic basis to determine if there are any indicators that the value of its equity investments may be impaired and whether or not that impairment is other-than-temporary. To the extent an impairment has occurred and is determined to be other-than-temporary, the Company measures the charge as the excess of the carrying value of its investment over its estimated fair value, which is determined by calculating its share of the estimated fair market value of the underlying net assets based on the terms of the applicable partnership or joint venture agreements.
Marketable Securities	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 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
Leases	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 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 yield 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	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 as of: December 31, 2022 2021 Cash and cash equivalents $ 28,567,825 $ 35,783,956 Restricted cash 4,633,204 7,411,811 Cash held in escrow by lender 3,268,563 7,902,880 Total cash, cash equivalents and restricted cash shown in the consolidated $ 36,469,592 $ 51,098,647
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 9 for additional information.
Term Loan	Term Loan The Company previously financed certain of its senior loans through borrowings under an indenture and credit agreement. The Company accounted for the borrowings as a term loan, which was carried at the contractual amount (cost), net of unamortized deferred financing fees. On February 18, 2022, the Company refinanced the Term Loan (as defined below) with a new repurchase agreement. See “Term Loan” in Note 9
Repurchase Agreements	Repurchase Agreements The Company finances certain of its senior loans held for investment through repurchase transactions under master repurchase agreements. 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. See “Repurchase Agreements” in Note 9
Fair Value Measurements	Fair Value Measurements United States generally accepted accounting principles (“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, secured borrowing, unsecured notes, mortgage loan payable, term loan payable, repurchase agreement payment and revolving line of credit. 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 December 31, 2022 and 2021, 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, secured borrowing, term loan payable, repurchase agreement payable, mortgage loan payable and revolving line of credit. Such financial instruments are carried at cost, less impairment or less net deferred costs, where applicable. Marketable securities are financial instruments that are reported at fair value.
Deferred Financing Costs	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	Income Taxes The Company has elected to be taxed as a REIT under 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 dividends equal 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	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	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. Actual results may ultimately differ from those estimates, and those differences could be material.
Segment Information	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	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. The Company adopted this ASU and related amendments on January 1, 2023. The adoption of ASU 2016-13 resulted in an incremental reserve of approximately $4.6 million, which included reserve on future loan funding commitments. The Company will record the cumulative effect of initially applying this guidance as an adjustment to Accumulated deficit using the modified retrospective method of adoption. London Interbank Offered Rate (“LIBOR”) is a benchmark interest rate referenced in a variety of agreements that are used by all types of entities. In July 2017, the U.K. Financial Conduct Authority, which regulates the LIBOR administrator, ICE Benchmark Administration Limited (“IBA”), announced that it would cease to compel banks to participate in setting LIBOR as

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Schedule of Cash, Cash Equivalents and Restricted Cash	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 as of: December 31, 2022 2021 Cash and cash equivalents $ 28,567,825 $ 35,783,956 Restricted cash 4,633,204 7,411,811 Cash held in escrow by lender 3,268,563 7,902,880 Total cash, cash equivalents and restricted cash shown in the consolidated $ 36,469,592 $ 51,098,647

BDC Merger (Tables)

BDC Merger (Tables)	12 Months Ended
	Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The following table summarizes the total consideration and the fair values of assets acquired and liabilities assumed in the BDC Merger: Total Consideration Fair value of Terra Property Trust shares of common stock issued $ 71,054,620 Cash paid for fractional shares 12,920 Transaction costs 2,283,785 $ 73,351,325 Assets Acquired and Liabilities Assumed at Fair Value Cash and cash equivalents $ 24,321,951 Restricted cash 260,614 Loans held for investment 77,562,528 Loans held for investment acquired through participation 36,793,313 Interest receivable 1,367,044 Other assets 55,465 Term loan payable (25,000,000) Unsecured notes payable (33,770,000) Obligations under participation agreements (6,114,979) Interest reserve and other deposits held on investments (260,614) Due to manager (682,541) Interest payable (53,186) Accounts payable and accrued expenses (740,824) Other liabilities (387,446) Net assets acquired $ 73,351,325

Loans Held for Investment (Tabl

Loans Held for Investment (Tables)	12 Months Ended
	Dec. 31, 2022
Receivables [Abstract]
Schedule of Company's Loan Portfolio	The following table provides a summary of the Company’s loan portfolio as of: December 31, 2022 December 31, 2021 Fixed Rate Floating (1)(2)(3) Total Fixed Rate Floating (1)(2)(3) Total Number of loans 8 23 31 6 15 21 Principal balance $ 90,990,183 $ 554,805,276 $ 645,795,459 $ 74,880,728 $ 405,270,423 $ 480,151,151 Carrying value $ 92,274,998 $ 534,215,769 $ 626,490,767 $ 75,520,212 $ 394,153,102 $ 469,673,314 Fair value $ 90,729,098 $ 532,416,656 $ 623,145,754 $ 75,449,410 $ 391,752,209 $ 467,201,619 Weighted-average coupon rate 13.82 % 11.23 % 11.59 % 12.39 % 7.01 % 7.85 % Weighted-average remaining 1.35 1.10 1.14 1.93 1.45 1.53 _______________ (1) These loans pay a coupon rate of LIBOR or Secured Overnight Financing Rate (“SOFR”), as applicable, plus a fixed spread. Coupon rate shown was determined using LIBOR of 4.39%, average SOFR of 4.06% and forward-looking term rate based on SOFR (“Term SOFR”) of 4.36% as of December 31, 2022 and LIBOR of 0.10% as of December 31, 2021. (2) As of December 31, 2022 and 2021, amount included $413.1 million and $163.1 million of senior mortgages used as collateral for $261.0 million and $93.8 million of borrowings under credit facilities, respectively ( Note 9 ). (3) As of December 31, 2022 and 2021, twenty-one and thirteen of these loans, respectively, are subject to a LIBOR or SOFR floor, as applicable.
Schedule of Lending Activities	The following tables present the activities of the Company’s loan portfolio: Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2022 $ 457,329,582 $ 12,343,732 $ 469,673,314 New loans made 257,780,401 32,225,275 290,005,676 Principal repayments received (197,484,239) — (197,484,239) Loans acquired and contributed in connection with the BDC Merger 77,562,529 (2,744,091) 74,818,438 Net amortization of premiums on loans (469,563) (87,449) (557,012) Accrual, payment and accretion of investment-related fees and other, 1,512,638 335,361 1,847,999 Provision for loan losses (11,813,409) — (11,813,409) Balance, December 31, 2022 $ 584,417,939 $ 42,072,828 $ 626,490,767 Loans Held for Investment Loans Held for Investment through Participation Interests Total Balance, January 1, 2021 $ 417,986,462 $ 4,294,053 $ 422,280,515 New loans made 240,130,367 12,307,366 252,437,733 Principal repayments received (192,530,456) (4,250,000) (196,780,456) PIK interest (1) 1,955,109 — 1,955,109 Net amortization of premiums on loans (61,390) — (61,390) Accrual, payment and accretion of investment-related fees and other, 1,405,206 (7,687) 1,397,519 Realized loss on loan repayments (2)(3) (651,553) — (651,553) Provision for loan losses (10,904,163) — (10,904,163) Balance, December 31, 2021 $ 457,329,582 $ 12,343,732 $ 469,673,314 _______________ (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 $1.0 million for the year ended December 31, 2021. (2) On September 2, 2021, the Company foreclosed on a hotel property encumbered by a first mortgage and the related subordinated mezzanine loan, both of which were held by the Company, with an aggregate principal balance $14.6 million. On September 23, 2021, the hotel property was sold to a third party for $13.8 million. The net proceeds from the sale, together with a payment under a contractual guarantee of $0.8 million from the borrower, were used to pay off both loans in full. In connection with the loan repayment, the related obligation under participation agreement of $6.4 million was simultaneously satisfied. In connection with the loan repayment, the Company recorded a loss of $0.4 million related to the write-off of the interest accrued but uncollected in the third quarter of 2021, excluding the amount attributable to obligations under participation agreements of $0.1 million. (3) Amount also included realized loss of $0.3 million related to the TDR transaction described below.
Schedule of Accounts, 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: December 31, 2022 December 31, 2021 Loan Structure Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total First mortgages $ 456,408,889 $ 461,299,182 73.7 % $ 345,454,454 $ 348,101,455 74.0 % Preferred equity investments 121,231,434 122,132,177 19.5 % 92,252,340 92,400,572 19.7 % Mezzanine loans 39,352,303 39,451,115 6.3 % 17,444,357 17,622,804 3.8 % Credit facility 28,802,833 29,080,183 4.6 % 25,000,000 25,206,964 5.4 % Allowance for loan losses — (25,471,890) (4.1) % — (13,658,481) (2.9) % Total $ 645,795,459 $ 626,490,767 100.0 % $ 480,151,151 $ 469,673,314 100.0 % December 31, 2022 December 31, 2021 Property Type Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total Office $ 184,196,708 $ 184,722,657 29.4 % $ 221,596,870 $ 222,426,872 47.3 % Industrial 147,796,164 148,891,742 23.8 % 32,000,000 32,206,964 6.9 % Multifamily 104,589,464 105,570,432 16.9 % 80,805,787 81,835,756 17.4 % Mixed-use 64,880,450 65,838,965 10.5 % 28,940,658 28,977,024 6.2 % Infill land 48,860,291 49,565,437 7.9 % 28,960,455 28,923,827 6.2 % Hotel - full/select service 43,222,382 43,758,804 7.0 % 56,847,381 57,395,682 12.2 % Student housing 31,000,000 31,774,261 5.1 % 31,000,000 31,565,670 6.7 % Infrastructure 21,250,000 21,840,359 3.5 % — — — % Allowance for loan losses — (25,471,890) (4.1) % — (13,658,481) (2.9) % Total $ 645,795,459 $ 626,490,767 100.0 % $ 480,151,151 $ 469,673,314 100.0 % December 31, 2022 December 31, 2021 Geographic Location Principal Balance Carrying Value % of Total Principal Balance Carrying Value % of Total United States California $ 164,253,345 $ 165,839,561 26.5 % $ 234,968,151 $ 237,015,597 50.4 % New York 91,845,479 91,877,084 14.7 % 92,252,340 92,400,572 19.7 % Georgia 72,401,718 73,101,964 11.7 % 53,289,288 53,536,884 11.4 % Texas 67,625,000 68,142,046 10.9 % 13,625,000 13,725,690 2.9 % New Jersey 62,228,622 62,958,482 10.0 % — — — % Washington 56,671,267 57,027,639 9.1 % 3,523,401 3,382,683 0.7 % Utah 49,250,000 50,698,251 8.1 % 28,000,000 28,420,056 6.1 % North Carolina 43,520,028 44,041,162 7.0 % 44,492,971 44,704,699 9.5 % Arizona 31,000,000 31,276,468 5.0 % — — — % Massachusetts 7,000,000 7,000,000 1.1 % 7,000,000 7,000,000 1.5 % South Carolina — — — % 3,000,000 3,145,614 0.7 % Allowance for loan losses — (25,471,890) (4.1) % — (13,658,481) (2.9) % Total $ 645,795,459 $ 626,490,767 100.0 % $ 480,151,151 $ 469,673,314 100.0 % December 31, 2022 December 31, 2021 Loan Risk Rating Number of Loans Principal Balance Carrying Value % of Total Number of Loans Principal Balance Carrying Value % of Total 1 — $ — $ — — % — $ — $ — — % 2 2 25,000,000 25,041,782 3.8 % 2 25,000,000 25,041,124 5.2 % 3 25 530,867,244 536,992,660 82.4 % 15 349,273,811 352,164,409 72.9 % 4 — — — — % 1 60,012,639 60,012,639 12.4 % 5 — — — — % — — — — % Other (1) 4 89,928,215 89,928,215 13.8 % 3 45,864,701 46,113,623 9.5 % 31 $ 645,795,459 651,962,657 100.0 % 21 $ 480,151,151 483,331,795 100.0 % Allowance for loan losses (25,471,890) (13,658,481) Total, net of allowance for loan losses $ 626,490,767 $ 469,673,314 _______________
Schedule of Allowance for Loan Losses	The following table presents the activity in the Company’s allowance for loan losses: Years Ended December 31, 2022 2021 Allowance for loan losses, beginning of year $ 13,658,481 $ 3,738,758 Provision for loan losses 11,813,409 10,904,163 Charge-offs (1) — (984,440) Allowance for loan losses, end of year $ 25,471,890 $ 13,658,481 _______________
Schedule of Recorded Investment of TDR	The following table summarizes the recorded investment of TDR as of the date of restructuring: Number of loans modified 1 Pre-modified recorded carrying value $ 40,837,901 Post-modified recorded carrying value (1) $ 1,364,944 _______________ (1) As of December 31, 2022, the principal balance of this loan was the same as the carrying value. The Company recorded an allowance for loan losses of $1.4 million to fully reserve for the unpaid principal balance. There was no income from this investment from the date of modification on December 28, 2022 through December 31, 2022. The following table summarizes the recorded investment of TDR as of the date of restructuring: Number of loans modified 1 Pre-modified recorded carrying value $ 18,503,470 Post-modified recorded carrying value (1) $ 13,625,000 _______________

Equity Investment in Unconsol_2

Equity Investment in Unconsolidated Investments (Tables)	12 Months Ended
	Dec. 31, 2022
Equity Method Investments and Joint Ventures [Abstract]
Schedule of Equity Method Investments	The following tables present summarized financial information of the Company’s equity investment in RESOF. Amounts provided are the total amounts attributable to the investment and do not represent the Company’s proportionate share: As of December 31, 2022 2021 Investments at fair value (cost of $176,035,290 and $107,261,022, respectively) $ 178,283,703 $ 108,359,898 Other assets 23,918,841 5,484,087 Total assets 202,202,544 113,843,985 Revolving line of credit, net of financing costs 14,795,985 14,909,717 Obligations under participation agreement (proceeds of $41,726,565 and $14,252,357, respectively) 41,962,861 14,351,617 Other liabilities 17,120,804 5,296,603 Total liabilities 73,879,650 34,557,937 Partners’ capital $ 128,322,894 $ 79,286,048 Years Ended December 31, 2022 2021 Total investment income $ 31,436,886 $ 11,769,083 Total expenses 9,042,066 2,381,145 Net investment income 22,394,820 9,387,938 Unrealized (depreciation) appreciation on investments (2,180,632) 524,113 Net increase in partners’ capital resulting from operations $ 20,214,188 $ 9,912,051 The following tables present estimated combined summarized financial information of the Company’s equity investment in the joint ventures. Amounts provided are the total amounts attributable to the joint ventures and do not represent the Company’s proportionate share: As of December 31, 2022 2021 Net investments in real estate $ 192,616,298 $ 115,636,424 Other assets 12,817,388 4,856,249 Total assets 205,433,686 120,492,673 Mortgage loan payable 147,740,645 83,445,235 Other liabilities 3,104,624 1,305,572 Total liabilities 150,845,269 84,750,807 Members’ capital $ 54,588,417 $ 35,741,866 Years Ended December 31, 2022 2021 Revenues $ 15,071,626 $ 1,448,431 Operating expenses (6,710,172) (518,904) Depreciation and amortization expense (9,914,314) (541,119) Interest expense (7,572,790) (692,500) Unrealized gains 3,244,813 447 Net loss $ (5,880,837) $ (303,645)
Schedule of Joint Venture Ownership Interests	The following table presents a summary of the Company’s equity investment in unconsolidated investments as of: December 31, 2022 December 31, 2021 Entity Co-owner (1) Beneficial Ownership Interest Carrying Value Beneficial Ownership Interest Carrying Value LEL Arlington JV LLC (1) Affiliate/Third party 27.2% $ 7,271,603 80% $ 23,949,044 LEL NW 49th JV LLC (1) Affiliate/Third party 27.2% 1,521,556 80% 5,306,467 TCG Corinthian FL Portfolio JV LLV (1)(2) Affiliate/Third Party 30.6% 6,896,816 —% — SF-Dallas Industrial, LLC (3) N/A N/A 10,013,691 —% — $ 25,703,666 $ 29,255,511 _______________ (1) The Company sold a portion of the interest in this investment to an affiliate in September 2022. (2) This investment was purchased from a third party in March 2022.

Real Estate Owned, Net (Tables)

Real Estate Owned, Net (Tables)	12 Months Ended
	Dec. 31, 2022
Real Estate [Abstract]
Schedule of Real Estate Owned, Net	The following table presents the components of real estate owned, net as of: December 31, 2022 December 31, 2021 Cost Accumulated Depreciation/Amortization Net Cost Accumulated Depreciation/Amortization Net Real estate: Land (1) $ — $ — $ — $ 10,000,000 $ — $ 10,000,000 Building and building 51,725,969 (5,711,468) 46,014,501 51,725,969 (4,418,305) 47,307,664 Tenant improvements 1,854,640 (1,224,648) 629,992 1,854,640 (947,369) 907,271 Furniture and fixtures 236,000 (220,267) 15,733 236,000 (125,867) 110,133 Total real estate 53,816,609 (7,156,383) 46,660,226 63,816,609 (5,491,541) 58,325,068 Lease intangible assets: In-place lease 14,982,538 (12,493,079) 2,489,459 14,982,538 (7,627,326) 7,355,212 Above-market rent 156,542 (77,540) 79,002 156,542 (59,983) 96,559 Total intangible assets 15,139,080 (12,570,619) 2,568,461 15,139,080 (7,687,309) 7,451,771 Lease intangible liabilities: Below-market rent (2,754,922) 2,428,647 (326,275) (2,754,922) 1,496,125 (1,258,797) Above-market ground lease (8,896,270) 575,705 (8,320,565) (8,896,270) 445,357 (8,450,913) Total intangible liabilities (11,651,192) 3,004,352 (8,646,840) (11,651,192) 1,941,482 (9,709,710) Total real estate $ 57,304,497 $ (16,722,650) $ 40,581,847 $ 67,304,497 $ (11,237,368) $ 56,067,129 _______________ (1) The 4.9 acres of land in Pennsylvania was sold by the Company in the second quarter of 2022. 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: Years Ended December 31, 2022 2021 Real estate operating revenues: Lease revenue $ 6,782,778 $ 7,167,049 Other operating income 4,669,136 1,727,942 Total $ 11,451,914 $ 8,894,991 Real estate operating expenses: Utilities $ 235,403 $ 208,098 Real estate taxes 1,400,519 1,401,279 Repairs and maintenances 728,944 645,316 Management fees 267,188 271,303 Lease expense, including amortization of above-market ground lease 1,948,652 2,084,402 Other operating expenses 424,845 393,495 Total $ 5,005,551 $ 5,003,893
Scheduled of Future Minimum Rent Income	Scheduled future minimum rents, exclusive of renewals and expenses paid by tenants, under non-cancelable operating leases at December 31, 2022 are as follows: Years Ending December 31, Total 2023 $ 4,235,538 2024 4,380,043 2025 792,925 2026 816,724 2027 598,943 Thereafter 1,815,497 Total $ 12,639,670
Scheduled of Annual Net Amortization of Intangibles	Based on the intangible assets and liabilities recorded at December 31, 2022, 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 2023 $ (139,056) $ 1,093,878 $ (130,348) $ 824,474 2024 (152,107) 1,177,775 (130,348) 895,320 2025 17,556 87,121 (130,348) (25,671) 2026 17,556 87,121 (130,348) (25,671) 2027 8,778 43,564 (130,348) (78,006) Thereafter — — (7,668,825) (7,668,825) Total $ (247,273) $ 2,489,459 $ (8,320,565) $ (6,078,379) _______________ (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.
Lessee, Operating Lease, Assets and Liabilities	Supplemental balance sheet information related to the ground lease was as follows as of: December 31, 2022 2021 Operating lease Operating lease right-of-use asset $ 27,378,786 $ 27,394,936 Operating lease liability $ 27,378,786 $ 27,394,936 Weighted average remaining lease term — operating lease (years) 63.8 64.8 Weighted average discount rate — operating lease 7.6 % 7.6 %
Schedule of Lease Expense	The component of lease expense for the ground lease was as follows: Years Ended December 31, 2022 2021 Operating lease cost $ 2,079,000 $ 2,214,750
Schedule of Non-cash Information	Supplemental non-cash information related to the ground lease was as follows: Years Ended December 31, 2022 2021 Amounts included in the measurement of lease liability: Operating cash flows from an operating lease $ 2,079,000 $ 2,214,750 Right-of-use asset obtained in exchange for lease obligations: Operating lease $ 2,079,000 $ 2,214,750
Schedule of Maturities of Operating Lease Liabilities	Maturities of operating lease liability as of December 31, 2022 was as follows: Years Ending December 31, Operating Lease 2023 $ 2,079,000 2024 2,079,000 2025 2,079,000 2026 2,079,000 2027 2,079,000 Thereafter 122,227,875 Total lease payments 132,622,875 Less: Imputed interest (105,244,089) Total $ 27,378,786

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	12 Months Ended
	Dec. 31, 2022
Fair Value Disclosures [Abstract]
Schedule of Fair Value Measurements of Marketable Securities, by Major Class	The following tables present fair value measurements of marketable securities, by major class according to the fair value hierarchy as of: December 31, 2022 Fair Value Measurements Level 1 Level 2 Level 3 Total Marketable Securities: Debt securities $ 147,960 $ — $ — $ 147,960 Total $ 147,960 $ — $ — $ 147,960 December 31, 2021 Fair Value Measurements Level 1 Level 2 Level 3 Total Marketable Securities: Equity securities $ 1,310,000 $ — $ — $ 1,310,000 Total $ 1,310,000 $ — $ — $ 1,310,000
Schedule of Activities of the Marketable Securities	The following table presents the activities of the marketable securities: Years Ended December 31, 2022 2021 Beginning balance $ 1,310,000 $ 1,287,500 Purchases 136,265 6,479,148 Proceeds from sale (1,259,417) (6,608,396) Reclassification of net realized gains on marketable securities into earnings 83,411 129,248 Unrealized (losses) gains on marketable securities (122,299) 22,500 Ending balance $ 147,960 $ 1,310,000
Schedule of 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 as of: December 31, 2022 December 31, 2021 Level Principal Amount Carrying Value Fair Value Principal Amount Carrying Value Fair Value Loans: Loans held for investment 3 $ 604,068,894 $ 609,889,829 $ 581,182,892 $ 467,843,785 $ 470,988,063 $ 454,840,551 Loans held for investment 3 41,726,565 42,072,828 41,962,862 12,307,366 12,343,732 12,361,068 Allowance for loan losses — (25,471,890) — — (13,658,481) — Total loans $ 645,795,459 $ 626,490,767 $ 623,145,754 $ 480,151,151 $ 469,673,314 $ 467,201,619 Liabilities: Term loan payable 3 $ 25,000,000 $ 25,000,000 $ 25,000,000 $ 93,763,470 $ 91,940,062 $ 94,344,595 Unsecured notes payable 1 123,500,000 116,530,673 103,481,748 85,125,000 81,856,799 85,210,125 Repurchase agreement payable 3 170,876,606 169,304,710 170,876,606 44,569,600 43,974,608 44,569,600 Obligations under participation 3 12,584,958 12,680,594 12,680,595 42,048,294 42,232,027 41,475,060 Mortgage loan payable 3 29,252,308 29,488,326 29,394,870 31,962,692 32,134,295 32,192,785 Secured borrowing 3 — — — 34,521,104 34,586,129 34,425,029 Revolving line of credit 3 90,135,865 89,807,448 90,135,865 38,575,895 38,186,472 38,575,895 Total liabilities $ 451,349,737 $ 442,811,751 $ 431,569,684 $ 370,566,055 $ 364,910,392 $ 370,793,089
Schedule of Fair Value Measurement Inputs and Valuation Techniques	The following tables summarize the valuation techniques and significant unobservable inputs used by the Company to value the Level 3 loans as of December 31, 2022 and 2021. 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 December 31, 2022 Primary Valuation Technique Unobservable Inputs December 31, 2022 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 581,182,892 Discounted cash flow Discount rate 8.71 % 19.36 % 11.46 % Loans held for investment acquired through 41,962,862 Discounted cash flow Discount rate 15.25 % 17.06 % 16.67 % Total Level 3 Assets $ 623,145,754 Liabilities: Repurchase agreement payable 170,876,606 Discounted cash flow Discount rate 5.22 % 6.17 % 6.82 % Obligations under participation agreements 12,680,595 Discounted cash flow Discount rate 16.36 % 16.36 % 16.36 % Mortgage loan payable 29,394,870 Discounted cash flow Discount rate 8.24 % 8.24 % 8.24 % Term loan payable 25,000,000 Discounted cash flow Discount rate 5.63 % 5.63 % 5.63 % Revolving line of credit 90,135,865 Discounted cash flow Discount rate 7.64 % 7.64 % 7.64 % Total Level 3 Liabilities $ 328,087,936 Fair Value at December 31, 2021 Primary Valuation Technique Unobservable Inputs December 31, 2021 Asset Category Minimum Maximum Weighted Average Assets: Loans held for investment, net $ 454,840,551 Discounted cash flow Discount rate 3.89 % 15.00 % 8.11 % Loans held for investment acquired through 12,361,068 Discounted cash flow Discount rate 8.25 % 15.00 % 12.33 % Total Level 3 Assets $ 467,201,619 Liabilities: Term loan payable $ 94,344,595 Discounted cash flow Discount rate 4.00 % 4.00 % 4.00 % Repurchase agreement payable 44,569,600 Discounted cash flow Discount rate 2.45 % 2.74 % 2.57 % Obligations under participation agreements 41,475,060 Discounted cash flow Discount rate 12.37 % 15.00 % 14.31 % Mortgage loan payable 32,192,785 Discounted cash flow Discount rate 6.08 % 6.08 % 6.08 % Secured borrowing 34,425,029 Discounted cash flow Discount rate 6.64 % 6.64 % 6.64 % Revolving line of credit 38,575,895 Discounted cash flow Discount rate 4.00 % 4.00 % 4.00 % Total Level 3 Liabilities $ 285,582,964

Related Party Transactions (Tab

Related Party Transactions (Tables)	12 Months Ended
	Dec. 31, 2022
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: Years Ended December 31, 2022 2021 Origination and extension fee expense (1)(2) $ 2,967,291 $ 2,729,598 Asset management fee 6,556,492 5,134,149 Asset servicing fee 1,560,044 1,181,924 Operating expenses reimbursed to Manager 8,076,321 6,916,371 Disposition fee (3) 890,194 1,006,302 Total $ 20,050,342 $ 16,968,344 _______________ (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) Amount for the years ended December 31, 2022 and 2021 excluded $0.2 million and $0.3 million of origination fee, respectively, paid to the Manager in connection with the Company’s equity investment in an unconsolidated investment. This origination fee was capitalized to the carrying value of the unconsolidated investment as a transaction cost. The table below lists the participation interests purchased by the Company pursuant to participation agreements as of: December 31, 2022 Participating Interests Principal Balance Carrying Value Havemeyer TSM LLC (1)(2) 23.00% $ 3,282,208 $ 3,313,813 Mesa AZ Industrial Owner, LLC (1)(3) 38.27% 31,000,000 31,276,468 UNJ Sole Member, LLC (1) 40.80% 7,444,357 7,482,547 $ 41,726,565 $ 42,072,828 December 31, 2021 Participating Interests Principal Balance Carrying Value Hillsborough Owners LLC (4) 30.00% $ 4,863,009 $ 4,866,542 UNJ Sole Member, LLC (1) 40.80% 7,444,357 7,477,190 $ 12,307,366 $ 12,343,732 ________________ (1) The loan is held in the name of Mavik Real Estate Special Opportunities Fund REIT, LLC (“RESOF REIT”), a related-party REIT managed by the Manager. (2) The Company acquired its interest in this investment in connection with the BDC Merger (3) The Company acquired its interest in this investment in September 2022. Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance Carrying Value 610 Walnut Investors LLC (1) $ 18,625,738 $ 18,738,386 67.57 % $ 12,584,958 $ 12,680,594 $ 18,625,738 $ 18,738,386 $ 12,584,958 $ 12,680,594 Transfers Treated as Obligations Under Participation Agreements as of Principal Balance Carrying Value % Transferred Principal Balance Carrying Value 370 Lex Part Deux, LLC (2)(3) $ 60,012,639 $ 60,012,639 35.00 % $ 21,004,424 $ 21,004,423 RS JZ Driggs, LLC (2)(3) 15,606,409 15,754,641 50.00 % 7,806,370 7,880,516 William A. Shopoff & Cindy I. Shopoff (2)(3) 25,000,000 25,206,964 52.95 % 13,237,500 13,347,088 $ 100,619,048 $ 100,974,244 $ 42,048,294 $ 42,232,027 ________________ (1) Participant was a third party. (2) Participant was Terra BDC and now Terra LLC. (3) In connection with the BDC Merger, the obligations under participation agreements were effectively extinguished and the Company recognized a gain on extinguishment of obligations under participation agreements of $3.4 million ( Note 3 The following table summarizes the loan that was transferred to a third-party that was accounted for as secured borrowing as of: Transfers Treated as Secured Borrowing as of December 31, 2021 Principal Balance Carrying Value % Transferred Principal Balance Carrying Value Windy Hill PV Five CM, LLC $ 49,954,068 $ 50,264,568 69.11 % $ 34,521,104 $ 34,586,129 $ 49,954,068 $ 50,264,568 $ 34,521,104 $ 34,586,129

Debt (Tables)

Debt (Tables)	12 Months Ended
	Dec. 31, 2022
Debt Disclosure [Abstract]
Schedule of Unsecured Notes Payable	The table below presents detailed information regarding the unsecured notes payable as of: December 31, 2022 December 31, 2021 Principal Balance Carrying Value Fair Value Principal Balance Carrying Value Fair Value 6.00% Senior Notes Due 2026 (1) $ 85,125,000 $ 82,487,769 $ 68,100,000 $ 85,125,000 $ 81,856,799 $ 85,210,125 7.00% Senior Notes Due 2026 (2) 38,375,000 34,042,904 35,381,748 — — — $ 123,500,000 $ 116,530,673 $ 103,481,748 $ 85,125,000 $ 81,856,799 $ 85,210,125 _______________ (1) Carrying value is net of unamortized issue discount of $1.9 million and $2.4 million, and unamortized deferred financing costs of $0.7 million and $0.9 million as of December 31, 2022 and 2021, respectively. (2) Carrying value is net of unamortized purchase discount of $4.3 million as of December 31, 2022.
Schedule of Debt	The following table presents detailed information with respect to each borrowing under the Term Loan as of: December 31, 2021 Mortgage Assets Borrowings Under the Term Loan (1)(2) Principal Amount Carrying Value Fair 330 Tryon DE LLC $ 22,800,000 $ 22,902,354 $ 22,594,654 $ 13,680,000 1389 Peachtree St, LP; 1401 Peachtree St, LP; and 53,289,288 53,536,884 52,031,363 31,283,661 AGRE DCP Palm Springs, LLC 43,222,381 43,669,992 43,829,842 23,146,265 Patrick Henry Recovery Acquisition, LLC 18,000,000 18,041,124 18,055,377 10,800,000 University Park Berkeley, LLC 25,815,378 25,991,962 26,015,500 14,853,544 $ 163,127,047 $ 164,142,316 $ 162,526,736 $ 93,763,470 The following tables present detailed information with respect to each borrowing under the UBS Master Repurchase Agreement as of: December 31, 2022 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest NB Factory TIC 1, LLC $ 28,000,000 $ 28,857,892 $ 28,902,234 11/8/2021 $ 18,970,000 LIBOR+1.74% (LIBOR floor of 0.1%) Grandview’s Madison Place, LLC 17,000,000 17,105,928 17,105,928 3/7/2022 13,600,000 Term SOFR + 1.965% Grandview’s Remington Place, 23,100,000 23,199,620 23,203,343 5/6/2022 18,480,000 Term SOFR + 1.965% $ 68,100,000 $ 69,163,440 $ 69,211,505 $ 51,050,000 December 31, 2021 Collateral Borrowings Under Master Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 14th & Alice Street Owner, LLC $ 39,384,000 $ 40,089,153 $ 40,130,448 11/8/2021 $ 25,599,600 LIBOR+1.45% (LIBOR floor of 0.1%) NB Factory TIC 1, LLC 28,000,000 28,420,056 28,851,547 11/8/2021 18,970,000 LIBOR+1.74% (LIBOR floor of 0.1%) $ 67,384,000 $ 68,509,209 $ 68,981,995 $ 44,569,600 The following table presents detailed information with respect to each borrowing under the Repurchase Agreement as of: December 31, 2022 Collateral Borrowings Under Repurchase Agreement Principal Amount Carrying Value Fair Borrowing Date Principal Amount Interest 330 Tryon DE LLC $ 22,800,000 $ 22,902,215 $ 22,687,235 2/18/2022 $ 18,240,000 Term SOFR + 2.015% (0.01% floor) 1389 Peachtree St, LP; 1401 Peachtree St, LP; and 57,184,178 57,453,482 56,844,322 2/18/2022 41,587,275 Term SOFR + 2.465% AGRE DCP Palm Springs, LLC 43,222,382 43,758,804 43,062,933 2/18/2022 28,094,548 Term SOFR + 1.315% (1.8% floor) Patrick Henry Recovery Acquisition, LLC 18,000,000 18,041,782 17,824,300 2/18/2022 14,400,000 Term SOFR +0.865% (1.5% floor) University Park Berkeley, LLC 26,342,468 26,536,122 26,472,938 2/18/2022 17,504,783 Term SOFR + 1.365% (1.5% floor) $ 167,549,028 $ 168,692,405 $ 166,891,728 $ 119,826,606 December 31, 2022 December 31, 2021 Lender Current Maturity Principal Amount Carrying Value Carrying Value of Principal Amount Carrying Value Carrying Value of Centennial Bank LIBOR + 3.85% (LIBOR Floor of 2.23%) May 31, 2023 $ 29,252,308 $ 29,488,326 $ 40,581,847 $ 31,962,692 $ 32,134,295 $ 46,067,129
Schedule of Long-term Debt Instruments	Scheduled debt principal payments for each of the five calendar years following December 31, 2022 are as follows: Years Ending December 31, Total 2023 $ 54,252,308 2024 261,012,472 2025 — 2026 123,500,000 2027 — Thereafter — 438,764,780 Unamortized deferred financing costs (8,633,623) Total $ 430,131,157

Equity (Tables)

Equity (Tables)	12 Months Ended
	Dec. 31, 2022
Equity [Abstract]
Schedule of Earnings Per Share, Basic and Diluted	The following table presents earnings per share: Years Ended December 31, 2022 2021 Net loss $ (6,951,693) $ (12,355,727) Series A preferred stock dividend declared (15,624) (15,624) Net loss allocable to common stock $ (6,967,317) $ (12,371,351) Weighted-average shares outstanding - basic and diluted 20,709,400 19,487,460 Loss per share - basic and diluted $ (0.34) $ (0.63)
Schedule of Dividends Declared	The following table presents distributions per share, declared and paid during the years ended December 31, 2022 and 2021, reported for federal tax purposes and serves as a designation of capital gain distributions, if applicable, pursuant to Section 857(b)(3)(C) of the Internal Revenue Code and Treasury Regulation § 1.857-6(e): Years Ended December 31, 2022 2021 Ordinary income $ 0.47 $ 0.07 Capital gain — 0.06 Return of capital 0.31 0.75 $ 0.78 $ 0.88

Business (Details)

Business (Details) - USD ($) $ in Millions	Dec. 31, 2022	Dec. 31, 2021	Mar. 02, 2020
Financial Highlights
Common stock, shares, issued (in shares)	0	19,487,460	4,574,470.35
Participating mortgage loans, participation liabilities, amount			$ 49.8
Cash			$ 25.5
Partnership interest | Terra JV
Financial Highlights
Beneficial ownership interest	70%
Partnership interest | Terra BDC
Financial Highlights
Beneficial ownership interest	19.90%
Partnership interest | Terra Offshore REIT
Financial Highlights
Beneficial ownership interest	10.10%
Minimum
Financial Highlights
Loan origination amount	$ 10
Maximum
Financial Highlights
Loan origination amount	$ 50

Summary of Significant Accoun_4

Summary of Significant Accounting Policies (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accounting Policies [Abstract]
Cash and cash equivalents	$ 28,567,825	$ 35,783,956
Restricted cash	4,633,204	7,411,811
Cash held in escrow by lender	3,268,563	7,902,880
Total cash, cash equivalents and restricted cash shown in the consolidated statements of cash flows	$ 36,469,592	$ 51,098,647	$ 32,920,323

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Narratives (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Jan. 01, 2023	Feb. 18, 2022	Dec. 31, 2021	Dec. 31, 2020
Debt Instrument
Multiplier for high risk loans (as a percent)	1.50%
Multiplier for highest risk loans (as a percent)	5%
Term loan payable	$ 25,000,000			$ 91,940,062
Allowance for loan losses	$ 25,471,890			$ 13,658,481	$ 3,738,758
Accounting Standards Update 2016-13 | Subsequent Event
Debt Instrument
Allowance for loan losses		$ 4,600,000
Term Loan
Debt Instrument
Term loan payable			$ 25,000,000

BDC Merger - Narratives (Detail

BDC Merger - Narratives (Details) - USD ($)		12 Months Ended
	Oct. 01, 2022	Dec. 31, 2022	Dec. 31, 2021	Mar. 02, 2020
Business Acquisition
Common stock, par or stated value per share (in usd per share)		$ 0.01	$ 0.01
Common stock, shares, issued (in shares)		0	19,487,460	4,574,470.35
Obligation under participation agreement		$ 12,680,594	$ 42,232,027
Gain on extinguishment of obligations under participation agreements		$ 3,435,902	$ 0
Class B Common Stock
Business Acquisition
Common stock, par or stated value per share (in usd per share)	$ 0.01	$ 0.01	$ 0.01
Number of securities called by warrants or rights (in shares)	0.595
Share price (in usd per share)	$ 14.38
Common stock, shares, issued (in shares)		24,335,370
Terra BDC | Class B Common Stock
Business Acquisition
Common stock, shares, issued (in shares)	4,847,910
Terra BDC
Business Acquisition
Common stock, par or stated value per share (in usd per share)	$ 0.001
Sale of stock, percentage of ownership after transaction	19.90%
Obligation under participation agreement	$ 37,000,000
Terra BDC | Class B Common Stock
Business Acquisition
Share price (in usd per share)	$ 14.66
Common stock, shares, issued (in shares)	4,847,910

BDC Merger - Schedule of Recogn

BDC Merger - Schedule of Recognized Identified Assets Acquired and Liabilities Assumed (Details) - USD ($)		12 Months Ended
	Oct. 01, 2022	Dec. 31, 2022	Dec. 31, 2021
Total Consideration
Cash paid for fractional shares		$ 12,920	$ 0
Terra BDC
Total Consideration
Fair value of Terra Property Trust shares of common stock issued	$ 71,054,620
Cash paid for fractional shares	12,920
Transaction costs	2,283,785
Total Consideration	73,351,325
Assets Acquired and Liabilities Assumed at Fair Value
Cash and cash equivalents	24,321,951
Restricted cash	260,614
Interest receivable	1,367,044
Other assets	55,465
Term loan payable	(25,000,000)
Unsecured notes payable	(33,770,000)
Obligations under participation agreements	(6,114,979)
Interest reserve and other deposits held on investments	(260,614)
Due to manager	(682,541)
Interest payable	(53,186)
Accounts payable and accrued expenses	(740,824)
Other liabilities	(387,446)
Net assets acquired	73,351,325
Terra BDC | Loans held for investment, net
Assets Acquired and Liabilities Assumed at Fair Value
Loans held for investment	77,562,528
Terra BDC | Loans held for investment acquired through participation, net
Assets Acquired and Liabilities Assumed at Fair Value
Loans held for investment	$ 36,793,313

Loans Held for Investment - Sch

Loans Held for Investment - Schedule of Portfolio Summary (Details)		12 Months Ended
	Mar. 12, 2021	Dec. 31, 2022 USD ($) Loans	Dec. 31, 2021 USD ($) Loans
Loans and Financing Receivable
Number of loans | Loans		31	21
Principal balance		$ 645,795,459	$ 480,151,151
Carrying value		626,490,767	469,673,314
Fair value		$ 623,145,754	$ 467,201,619
Weighted-average coupon rate		11.59%	7.85%
Weighted-average remaining term (years)		1 year 1 month 20 days	1 year 6 months 10 days
Principal Balance		$ 451,349,737	$ 370,566,055
LIBOR | Revolving line of credit
Loans and Financing Receivable
Debt instrument, basis spread on variable rate	3.25%
Term Loan
Loans and Financing Receivable
Principal balance			163,127,047
Carrying value			164,142,316
Fair value			162,526,736
Principal Balance			$ 93,763,470
Fixed Rate
Loans and Financing Receivable
Number of loans | Loans		8	6
Principal balance		$ 90,990,183	$ 74,880,728
Carrying value		92,274,998	75,520,212
Fair value		$ 90,729,098	$ 75,449,410
Weighted-average coupon rate		13.82%	12.39%
Weighted-average remaining term (years)		1 year 4 months 6 days	1 year 11 months 4 days
Floating Rate
Loans and Financing Receivable
Number of loans | Loans		23	15
Principal balance		$ 554,805,276	$ 405,270,423
Carrying value		534,215,769	394,153,102
Fair value		$ 532,416,656	$ 391,752,209
Weighted-average coupon rate		11.23%	7.01%
Weighted-average remaining term (years)		1 year 1 month 6 days	1 year 5 months 12 days
Floating Rate | Revolving line of credit | Collateral
Loans and Financing Receivable
Principal balance		$ 413,100,000	$ 163,100,000
Principal Balance		$ 261,000,000	$ 93,800,000
Floating Rate | Term Loan
Loans and Financing Receivable
Number of loans | Loans		21	13
Floating Rate | Term Loan | LIBOR
Loans and Financing Receivable
Debt instrument, basis spread on variable rate		4.39%	0.10%
Floating Rate | Term Loan | SOFR
Loans and Financing Receivable
Debt instrument, basis spread on variable rate		4.06%
Derivative, forward interest rate		4.36%

Loans Held for Investment - Len

Loans Held for Investment - Lending activities (Details) - USD ($)	1 Months Ended	3 Months Ended	12 Months Ended
	Sep. 23, 2021	Sep. 30, 2021	Dec. 31, 2022	Dec. 31, 2021	Sep. 02, 2021	Mar. 02, 2020
Loans and Financing Receivable
Provision for loan losses			$ (11,813,409)	$ (10,904,163)
Cash						$ 25,500,000
Obligations Under Participation Agreements
Loans and Financing Receivable
Realized loss on loan repayments		$ (100,000)
Real Estate Loan
Loans and Financing Receivable
Beginning balance			469,673,314	422,280,515
New loans made			290,005,676	252,437,733
Principal repayments received			(197,484,239)	(196,780,456)
Loans acquired and contributed in connection with the BDC Merger			74,818,438
PIK interest				1,955,109
Net amortization of premiums on loans			(557,012)	(61,390)
Accrual, payment and accretion of investment-related fees and other, net			1,847,999	1,397,519
Provision for loan losses			(11,813,409)	(10,904,163)
Realized loss on loan repayments				(651,553)
Ending balance			626,490,767	469,673,314
Real Estate Loan | Loans Held for Investment
Loans and Financing Receivable
Beginning balance			457,329,582	417,986,462
New loans made			257,780,401	240,130,367
Principal repayments received			(197,484,239)	(192,530,456)
Loans acquired and contributed in connection with the BDC Merger			77,562,529
PIK interest				1,955,109
Net amortization of premiums on loans			(469,563)	(61,390)
Accrual, payment and accretion of investment-related fees and other, net			1,512,638	1,405,206
Provision for loan losses			(11,813,409)	(10,904,163)
Realized loss on loan repayments				(651,553)
Ending balance			584,417,939	457,329,582
Real Estate Loan | Loans Held for Investment | Obligations Under Participation Agreements
Loans and Financing Receivable
PIK interest				1,000,000
Real Estate Loan | Loans Held for Investment through Participation Interests
Loans and Financing Receivable
Beginning balance			12,343,732	4,294,053
New loans made			32,225,275	12,307,366
Principal repayments received			0	(4,250,000)
Loans acquired and contributed in connection with the BDC Merger			(2,744,091)
PIK interest				0
Net amortization of premiums on loans			(87,449)	0
Accrual, payment and accretion of investment-related fees and other, net			335,361	(7,687)
Provision for loan losses			0	0
Realized loss on loan repayments				0
Ending balance			$ 42,072,828	$ 12,343,732
Real Estate Loan | Loans Held for Investment through Participation Interests | Hotel
Loans and Financing Receivable
Realized loss on loan repayments		400,000
Proceeds from sale of real properties held for investment	$ 13,800,000
Cash	800,000
Real Estate Loan | Loans Held for Investment through Participation Interests | Hotel | TDR Transaction
Loans and Financing Receivable
Realized loss on loan repayments		$ 300,000
Real Estate Loan | Loans Held for Investment through Participation Interests | First Mortgage | Hotel
Loans and Financing Receivable
Principal balance					$ 14,600,000
Real Estate Loan | Loans Held for Investment through Participation Interests | Obligations Under Participation Agreements | Hotel
Loans and Financing Receivable
Principal balance	$ 6,400,000

Loans Held for Investment - Loa

Loans Held for Investment - Loan Structure (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Loans and Financing Receivable
Principal Balance	$ 645,795,459	$ 480,151,151
Carrying Value of Collateral	651,962,657	483,331,795
Allowance for loan losses	(25,471,890)	(13,658,481)
Loans held for investment	$ 626,490,767	$ 469,673,314
% of Total	100%	100%
Allowance for loan losses (as a percent)	(4.10%)	(2.90%)
Credit facility
Loans and Financing Receivable
Principal Balance	$ 28,802,833	$ 25,000,000
Carrying Value of Collateral	$ 29,080,183	$ 25,206,964
% of Total	4.60%	5.40%
Preferred equity investments
Loans and Financing Receivable
Principal Balance	$ 121,231,434	$ 92,252,340
Carrying Value of Collateral	$ 122,132,177	$ 92,400,572
% of Total	19.50%	19.70%
Mezzanine loans
Loans and Financing Receivable
Principal Balance	$ 39,352,303	$ 17,444,357
Carrying Value of Collateral	$ 39,451,115	$ 17,622,804
% of Total	6.30%	3.80%
First mortgages
Loans and Financing Receivable
Principal Balance	$ 456,408,889	$ 345,454,454
Carrying Value of Collateral	$ 461,299,182	$ 348,101,455
% of Total	73.70%	74%

Loans Held for Investment - Pro

Loans Held for Investment - Property Type (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Loans and Financing Receivable
Principal Balance	$ 645,795,459	$ 480,151,151
Carrying Value of Collateral	651,962,657	483,331,795
Allowance for loan losses	(25,471,890)	(13,658,481)
Loans held for investment	$ 626,490,767	$ 469,673,314
% of Total	100%	100%
Allowance for loan losses (as a percent)	(4.10%)	(2.90%)
Office
Loans and Financing Receivable
Principal Balance	$ 184,196,708	$ 221,596,870
Carrying Value of Collateral	$ 184,722,657	$ 222,426,872
% of Total	29.40%	47.30%
Industrial
Loans and Financing Receivable
Principal Balance	$ 147,796,164	$ 32,000,000
Carrying Value of Collateral	$ 148,891,742	$ 32,206,964
% of Total	23.80%	6.90%
Multifamily
Loans and Financing Receivable
Principal Balance	$ 104,589,464	$ 80,805,787
Carrying Value of Collateral	$ 105,570,432	$ 81,835,756
% of Total	16.90%	17.40%
Mixed-use
Loans and Financing Receivable
Principal Balance	$ 64,880,450	$ 28,940,658
Carrying Value of Collateral	$ 65,838,965	$ 28,977,024
% of Total	10.50%	6.20%
Infill land
Loans and Financing Receivable
Principal Balance	$ 48,860,291	$ 28,960,455
Carrying Value of Collateral	$ 49,565,437	$ 28,923,827
% of Total	7.90%	6.20%
Hotel - full/select service
Loans and Financing Receivable
Principal Balance	$ 43,222,382	$ 56,847,381
Carrying Value of Collateral	$ 43,758,804	$ 57,395,682
% of Total	7%	12.20%
Student housing
Loans and Financing Receivable
Principal Balance	$ 31,000,000	$ 31,000,000
Carrying Value of Collateral	$ 31,774,261	$ 31,565,670
% of Total	5.10%	6.70%
Infrastructure
Loans and Financing Receivable
Principal Balance	$ 21,250,000	$ 0
Carrying Value of Collateral	$ 21,840,359	$ 0
% of Total	3.50%	0%

Loans Held for Investment - Geo

Loans Held for Investment - Geographic Locations (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Loans and Financing Receivable
Principal Balance	$ 645,795,459	$ 480,151,151
Allowance for loan losses	(25,471,890)	(13,658,481)
Carrying Value	$ 626,490,767	$ 469,673,314
% of Total	100%	100%
Allowance for loan losses (as a percent)	(4.10%)	(2.90%)
California
Loans and Financing Receivable
Principal Balance	$ 164,253,345	$ 234,968,151
Carrying Value	$ 165,839,561	$ 237,015,597
% of Total	26.50%	50.40%
New York
Loans and Financing Receivable
Principal Balance	$ 91,845,479	$ 92,252,340
Carrying Value	$ 91,877,084	$ 92,400,572
% of Total	14.70%	19.70%
Georgia
Loans and Financing Receivable
Principal Balance	$ 72,401,718	$ 53,289,288
Carrying Value	$ 73,101,964	$ 53,536,884
% of Total	11.70%	11.40%
Texas
Loans and Financing Receivable
Principal Balance	$ 67,625,000	$ 13,625,000
Carrying Value	$ 68,142,046	$ 13,725,690
% of Total	10.90%	2.90%
New Jersey
Loans and Financing Receivable
Principal Balance	$ 62,228,622	$ 0
Carrying Value	$ 62,958,482	$ 0
% of Total	10%	0%
Washington
Loans and Financing Receivable
Principal Balance	$ 56,671,267	$ 3,523,401
Carrying Value	$ 57,027,639	$ 3,382,683
% of Total	9.10%	0.70%
Utah
Loans and Financing Receivable
Principal Balance	$ 49,250,000	$ 28,000,000
Carrying Value	$ 50,698,251	$ 28,420,056
% of Total	8.10%	6.10%
North Carolina
Loans and Financing Receivable
Principal Balance	$ 43,520,028	$ 44,492,971
Carrying Value	$ 44,041,162	$ 44,704,699
% of Total	7%	9.50%
Arizona
Loans and Financing Receivable
Principal Balance	$ 31,000,000	$ 0
Carrying Value	$ 31,276,468	$ 0
% of Total	5%	0%
Massachusetts
Loans and Financing Receivable
Principal Balance	$ 7,000,000	$ 7,000,000
Carrying Value	$ 7,000,000	$ 7,000,000
% of Total	1.10%	1.50%
South Carolina
Loans and Financing Receivable
Principal Balance	$ 0	$ 3,000,000
Carrying Value	$ 0	$ 3,145,614
% of Total	0%	0.70%

Loans Held for Investment - L_2

Loans Held for Investment - Loan risk rating (Details)	3 Months Ended	12 Months Ended
	Mar. 31, 2022 Loans	Dec. 31, 2022 USD ($) Loans	Dec. 31, 2021 USD ($) Loans
Loans and Financing Receivable
Number of Loans | Loans		31	21
Principal Balance		$ 645,795,459	$ 480,151,151
Carrying Value of Collateral		651,962,657	483,331,795
Allowance for loan losses		(25,471,890)	(13,658,481)
Loans held for investment		$ 626,490,767	$ 469,673,314
% of Total		100%	100%
Allowance for loan losses		$ 25,471,890	$ 13,658,481
1
Loans and Financing Receivable
Number of Loans | Loans		0	0
Principal Balance		$ 0	$ 0
Carrying Value of Collateral		$ 0	$ 0
% of Total		0%	0%
2
Loans and Financing Receivable
Number of Loans | Loans		2	2
Principal Balance		$ 25,000,000	$ 25,000,000
Carrying Value of Collateral		$ 25,041,782	$ 25,041,124
% of Total		3.80%	5.20%
3
Loans and Financing Receivable
Number of Loans | Loans		25	15
Principal Balance		$ 530,867,244	$ 349,273,811
Carrying Value of Collateral		$ 536,992,660	$ 352,164,409
% of Total		82.40%	72.90%
4
Loans and Financing Receivable
Number of Loans | Loans		0	1
Principal Balance		$ 0	$ 60,012,639
Carrying Value of Collateral		$ 0	$ 60,012,639
% of Total		0%	12.40%
5
Loans and Financing Receivable
Number of Loans | Loans		0	0
Principal Balance		$ 0	$ 0
Carrying Value of Collateral		$ 0	$ 0
% of Total		0%	0%
Other
Loans and Financing Receivable
Number of Loans | Loans	3	4	3
Principal Balance		$ 89,928,215	$ 45,864,701
Carrying Value of Collateral		$ 89,928,215	$ 46,113,623
% of Total		13.80%	9.50%
Other | Specific Allowance
Loans and Financing Receivable
Allowance for loan losses		$ (25,500,000)	$ (12,800,000)
Allowance for loan losses		$ 25,500,000	$ 12,800,000

Loans Held for Investment - Nar

Loans Held for Investment - Narratives - Allowance for loan losses (Details)	12 Months Ended
	Dec. 31, 2022 USD ($) Loans numberOfAgreements	Dec. 31, 2021 USD ($) numberOfAgreements Loans
Loans and Financing Receivable
Number of loans with a loan risk rating | Loans	31	21
Provision for loan losses | $	$ 11,813,409	$ 10,904,163
Number of contracts | Loans	2	1
Suspended interest income accrual | $	$ 8,500,000	$ 3,600,000
Number of contract suspended | numberOfAgreements	3	3
Specific Allowance
Loans and Financing Receivable
Provision for loan losses | $	$ 11,800,000	$ 10,300,000
General Allowance
Loans and Financing Receivable
Provision for loan losses | $		$ 600,000
4
Loans and Financing Receivable
Number of loans with a loan risk rating | Loans	0	1
5
Loans and Financing Receivable
Number of loans with a loan risk rating | Loans	0	0

Loans Held for Investment - All

Loans Held for Investment - Allowance for loan losses (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Receivables [Abstract]
Allowance for loan losses, beginning of year	$ 13,658,481	$ 3,738,758
Provision for loan losses	11,813,409	10,904,163
Charge-offs	0	(984,440)
Allowance for loan losses, end of year	$ 25,471,890	$ 13,658,481

Loans Held for Investment - N_2

Loans Held for Investment - Narratives - TDR (Details) - USD ($)	1 Months Ended		3 Months Ended	12 Months Ended
	Dec. 31, 2022	Sep. 23, 2021	Apr. 01, 2022	Dec. 31, 2022	Dec. 31, 2021	May 30, 2020
Troubled Debt Restructuring
Debt instrument, face	$ 451,349,737			$ 451,349,737	$ 370,566,055
Repayments of loan				2,710,384	12,057,533
Converted to subordinated equity				1,400,000
Fair value	623,145,754			623,145,754	467,201,619
Principal balance	645,795,459			645,795,459	480,151,151
Charge-offs				0	984,440
Senior Loans
Troubled Debt Restructuring
Debt instrument, face	40,100,000			40,100,000
Repayments of loan	38,700,000
Converted to subordinated equity				$ 1,400,000
Accrues dividends rate				8%
Principal Forgiveness
Troubled Debt Restructuring
Investment in troubled debt restructuring	$ 1			$ 1	13,700,000
Interest accrual suspended						$ 3,500,000
Principal balance		$ 13,600,000			13,600,000
Financing receivable, troubled debt restructuring, commitment to lend		14,700,000
Charge-offs		1,000,000
Accrued interest forgiven		1,300,000
Interest non-accrual		$ 400,000	$ 300,000		$ 300,000

Loans Held for Investment - Tro

Loans Held for Investment - Troubled Debt Restructuring (Details)	12 Months Ended
	Dec. 31, 2022 USD ($) Loans	Dec. 31, 2021 USD ($) Loans	Sep. 23, 2021 USD ($)	Dec. 31, 2020 USD ($)
Troubled Debt Restructuring
Principal balance	$ 645,795,459	$ 480,151,151
Carrying Value of Collateral	651,962,657	483,331,795
Allowance for loan losses	$ 25,471,890	$ 13,658,481		$ 3,738,758
Principal Forgiveness
Troubled Debt Restructuring
Number of loans modified | Loans	1	1
Pre-modified recorded carrying value	$ 40,837,901	$ 18,503,470
Post-modified recorded carrying value	$ 1,364,944	13,625,000
Principal balance		13,600,000	$ 13,600,000
Carrying Value of Collateral		13,700,000
Allowance for loan losses		$ 0

Equity Investment in Unconsol_3

Equity Investment in Unconsolidated Investments - Narratives (Details)		1 Months Ended	12 Months Ended
	Aug. 03, 2020 USD ($)	Sep. 30, 2022 USD ($) joint_venture	Dec. 31, 2022 USD ($) joint_venture	Dec. 31, 2021 USD ($)
Schedule of Equity Method Investments
Unfunded commitment outstanding			$ 47,300,000	$ 71,800,000
Equity investment in unconsolidated investments			62,498,340	69,713,793
Equity income from investment			$ 2,731,477	5,925,802
Number of join ventures | joint_venture			3
Number of joint interests with interests sold | joint_venture		2
Proceeds from sale of equity method investments		$ 33,700,000
Realized gain on disposal		$ 800,000
Principal Balance			$ 451,349,737	370,566,055
Percentage of net cash flow (as a percent)			35%
Mezzanine Loan, Acquisition
Schedule of Equity Method Investments
Principal Balance			$ 10,000,000
Mavik RESOF
Schedule of Equity Method Investments
Committed capital	$ 50,000,000
Unfunded commitment outstanding			$ 22,400,000	$ 15,100,000
Equity method investment, ownership percentage			27.90%	50%
Equity investment in unconsolidated investments			$ 36,800,000	$ 40,500,000
Equity income from investment			5,200,000	6,200,000
Proceeds from equity method investment, distribution			0	3,500,000
Payments for origination of mortgage loans held-for-sale				500,000
Joint Venture
Schedule of Equity Method Investments
Equity method investment, ownership percentage		53%
Equity income from investment			(2,500,000)	200,000
Proceeds from equity method investment, distribution			900,000	$ 0
Acquisition costs, period cost			$ 500,000
Another Joint venture
Schedule of Equity Method Investments
Equity method investment, ownership percentage		59%

Equity Investment in Unconsol_4

Equity Investment in Unconsolidated Investments - Equity Investment in a Limited Partnership (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Schedule of Equity Method Investments
Other assets	$ 2,780,367	$ 3,505,953
Total assets	813,336,892	693,542,158
Revolving line of credit, net of financing costs	89,807,448	38,186,472
Obligations under participation agreement (proceeds of $41,726,565 and $14,252,357, respectively)	12,680,594	42,232,027
Other liabilities	1,159,885	4,289,967
Total liabilities	491,454,718	419,698,580
Carrying Value	626,490,767	469,673,314
Obligations under participation agreement	29,607,969	71,682,634
Mavik RESOF
Schedule of Equity Method Investments
Investments at fair value (cost of $176,035,290 and $107,261,022, respectively)	178,283,703	108,359,898
Other assets	23,918,841	5,484,087
Total assets	202,202,544	113,843,985
Revolving line of credit, net of financing costs	14,795,985	14,909,717
Obligations under participation agreement (proceeds of $41,726,565 and $14,252,357, respectively)	41,962,861	14,351,617
Other liabilities	17,120,804	5,296,603
Total liabilities	73,879,650	34,557,937
Partners’ capital	128,322,894	79,286,048
Total investment income	31,436,886	11,769,083
Total expenses	9,042,066	2,381,145
Net investment income	22,394,820	9,387,938
Unrealized (depreciation) appreciation on investments	(2,180,632)	524,113
Net increase in partners’ capital resulting from operations	20,214,188	9,912,051
Carrying Value	176,035,290	107,261,022
Obligations under participation agreement	$ 41,726,565	$ 14,252,357

Equity Investment in Unconsol_5

Equity Investment in Unconsolidated Investments - Equity Investment in Joint Venture (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Schedule of Equity Method Investments
Carrying Value	$ 62,498,340	$ 69,713,793
Joint Venture
Schedule of Equity Method Investments
Carrying Value	$ 25,703,666	$ 29,255,511
Joint Venture | LEL Arlington JV LLC
Schedule of Equity Method Investments
Beneficial Ownership Interest	27.20%	80%
Carrying Value	$ 7,271,603	$ 23,949,044
Joint Venture | LEL NW 49th JV LLC
Schedule of Equity Method Investments
Beneficial Ownership Interest	27.20%	80%
Carrying Value	$ 1,521,556	$ 5,306,467
Joint Venture | TCG Corinthian FL Portfolio JV LLV
Schedule of Equity Method Investments
Beneficial Ownership Interest	30.60%	0%
Carrying Value	$ 6,896,816	$ 0
Joint Venture | SF-Dallas Industrial, LLC
Schedule of Equity Method Investments
Beneficial Ownership Interest		0%
Carrying Value	$ 10,013,691	$ 0

Equity Investment in Unconsol_6

Equity Investment in Unconsolidated Investments - Schedule of Equity Method Investments JV (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Schedule of Equity Method Investments
Other assets	$ 2,780,367	$ 3,505,953
Total assets	813,336,892	693,542,158
Mortgage loan payable	29,488,326	32,134,295
Other liabilities	1,159,885	4,289,967
Total liabilities	491,454,718	419,698,580
Revenues	56,614,446	46,685,257
Depreciation and amortization expense	(6,530,595)	(3,989,114)
Joint Venture
Schedule of Equity Method Investments
Net investments in real estate	192,616,298	115,636,424
Other assets	12,817,388	4,856,249
Total assets	205,433,686	120,492,673
Mortgage loan payable	147,740,645	83,445,235
Other liabilities	3,104,624	1,305,572
Total liabilities	150,845,269	84,750,807
Members’ capital	54,588,417	35,741,866
Revenues	15,071,626	1,448,431
Operating expenses	(6,710,172)	(518,904)
Depreciation and amortization expense	(9,914,314)	(541,119)
Interest expense	(7,572,790)	(692,500)
Unrealized gains	3,244,813	447
Net loss	$ (5,880,837)	$ (303,645)

Real Estate Owned, Net - Narrat

Real Estate Owned, Net - Narratives - Leases (Details)	1 Months Ended					12 Months Ended
	Jun. 30, 2022 USD ($) a	Mar. 31, 2022 USD ($)	Dec. 31, 2021 USD ($) a	Nov. 30, 2021 USD ($)	Sep. 30, 2021	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($) a
Real Estate [Line Items]
Area of land | a	4.9		4.9				4.9
Proceeds from sale of real estate	$ 8,600,000					$ 8,585,500	$ 0
Loss on sale of investments	$ 100,000
Impairment of real estate		$ 1,600,000	$ 3,400,000
Lessee, operating lease, term of contract					10 years
Gross sales of tenant business					6%
Annual rental payment increase percent					3%
Termination fees				$ 3,100,000
Lessee, Operating Lease, Option To Extend, Term					5 years
Ground Lease
Real Estate [Line Items]
Lessee, operating lease, remaining lease term						64 years 7 months 6 days
Base rent renewal term						5 years
Percent of fair market value of land						9%

Real Estate Owned, Net - Real E

Real Estate Owned, Net - Real Estate Owned, Net (Details)	Dec. 31, 2022 USD ($)	Jun. 30, 2022 a	Dec. 31, 2021 USD ($) a
Real Estate [Line Items]
Real estate, Net	$ 46,660,226		$ 58,325,068
Lease intangible liabilities, Net	(8,646,840)		$ (9,709,710)
Area of land | a		4.9	4.9
Real Estate Investment
Real Estate [Line Items]
Real estate, Cost	57,304,497		$ 67,304,497
Real estate, Accumulated Depreciation/Amortization	(16,722,650)		(11,237,368)
Real estate, Net	40,581,847		56,067,129
Lease intangible assets, Cost	15,139,080		15,139,080
Lease intangible assets, Accumulated Depreciation/Amortization	(12,570,619)		(7,687,309)
Lease intangible assets, Net	2,568,461		7,451,771
Lease intangible liabilities, Cost	(11,651,192)		(11,651,192)
Lease intangible liabilities, Accumulated Depreciation/Amortization	3,004,352		1,941,482
Lease intangible liabilities, Net	(8,646,840)		(9,709,710)
Real Estate Investment | Total real estate
Real Estate [Line Items]
Real estate, Cost	53,816,609		63,816,609
Real estate, Accumulated Depreciation/Amortization	(7,156,383)		(5,491,541)
Real estate, Net	46,660,226		58,325,068
Real Estate Investment | Land
Real Estate [Line Items]
Real estate, Cost	0		10,000,000
Real estate, Accumulated Depreciation/Amortization	0		0
Real estate, Net	0		10,000,000
Real Estate Investment | Building and building improvements
Real Estate [Line Items]
Real estate, Cost	51,725,969		51,725,969
Real estate, Accumulated Depreciation/Amortization	(5,711,468)		(4,418,305)
Real estate, Net	46,014,501		47,307,664
Real Estate Investment | Tenant improvements
Real Estate [Line Items]
Real estate, Cost	1,854,640		1,854,640
Real estate, Accumulated Depreciation/Amortization	(1,224,648)		(947,369)
Real estate, Net	629,992		907,271
Real Estate Investment | Furniture and fixtures
Real Estate [Line Items]
Real estate, Cost	236,000		236,000
Real estate, Accumulated Depreciation/Amortization	(220,267)		(125,867)
Real estate, Net	15,733		110,133
Real Estate Investment | In-place lease
Real Estate [Line Items]
Lease intangible assets, Cost	14,982,538		14,982,538
Lease intangible assets, Accumulated Depreciation/Amortization	(12,493,079)		(7,627,326)
Lease intangible assets, Net	2,489,459		7,355,212
Real Estate Investment | Above-market rent
Real Estate [Line Items]
Lease intangible assets, Cost	156,542		156,542
Lease intangible assets, Accumulated Depreciation/Amortization	(77,540)		(59,983)
Lease intangible assets, Net	79,002		96,559
Real Estate Investment | Below-market rent
Real Estate [Line Items]
Lease intangible liabilities, Cost	(2,754,922)		(2,754,922)
Lease intangible liabilities, Accumulated Depreciation/Amortization	2,428,647		1,496,125
Lease intangible liabilities, Net	(326,275)		(1,258,797)
Real Estate Investment | Above-market ground lease
Real Estate [Line Items]
Lease intangible liabilities, Cost	(8,896,270)		(8,896,270)
Lease intangible liabilities, Accumulated Depreciation/Amortization	575,705		445,357
Lease intangible liabilities, Net	$ (8,320,565)		$ (8,450,913)

Real Estate Owned, Net - Real_2

Real Estate Owned, Net - Real Estate Operating Revenues and Expenses (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Real estate operating revenues:
Total	$ 11,451,914	$ 8,894,991
Real estate operating expenses:
Management fees	6,556,492	5,134,149
Total	5,005,551	5,003,893
Real Estate Investment
Real estate operating revenues:
Lease revenue	6,782,778	7,167,049
Other operating income	4,669,136	1,727,942
Total	11,451,914	8,894,991
Real estate operating expenses:
Utilities	235,403	208,098
Real estate taxes	1,400,519	1,401,279
Repairs and maintenances	728,944	645,316
Management fees	267,188	271,303
Lease expense, including amortization of above-market ground lease	1,948,652	2,084,402
Other operating expenses	424,845	393,495
Total	$ 5,005,551	$ 5,003,893

Real Estate Owned, Net - Future

Real Estate Owned, Net - Future Minimum Rent Income (Details)	Dec. 31, 2022 USD ($)
Real Estate [Abstract]
2023	$ 4,235,538
2024	4,380,043
2025	792,925
2026	816,724
2027	598,943
Thereafter	1,815,497
Total	$ 12,639,670

Real Estate Owned, Net - Annual

Real Estate Owned, Net - Annual Net Amortization of Intangibles (Details)	Dec. 31, 2022 USD ($)
Real Estate [Line Items]
2023	$ 824,474
2024	895,320
2025	(25,671)
2026	(25,671)
2027	(78,006)
Thereafter	(7,668,825)
Total	(6,078,379)
Net Decrease in Real Estate Operating Revenue
Real Estate [Line Items]
2023	(139,056)
2024	(152,107)
2025	17,556
2026	17,556
2027	8,778
Thereafter	0
Total	(247,273)
Increase in Depreciation and Amortization
Real Estate [Line Items]
2023	1,093,878
2024	1,177,775
2025	87,121
2026	87,121
2027	43,564
Thereafter	0
Total	2,489,459
Decrease in Rent Expense
Real Estate [Line Items]
2023	(130,348)
2024	(130,348)
2025	(130,348)
2026	(130,348)
2027	(130,348)
Thereafter	(7,668,825)
Total	$ (8,320,565)

Real Estate Owned, Net - Ground

Real Estate Owned, Net - Ground Lease Disclosures (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Real Estate [Line Items]
Operating lease right-of-use asset	$ 27,378,786	$ 27,394,936
Operating lease liability	27,378,786	27,394,936
Ground Lease
Real Estate [Line Items]
Operating lease right-of-use asset	27,378,786	27,394,936
Operating lease liability	$ 27,378,786	$ 27,394,936
Weighted average remaining lease term — operating lease (years)	63 years 9 months 18 days	64 years 9 months 18 days
Weighted average discount rate — operating lease	7.60%	7.60%

Real Estate Owned, Net - Schedu

Real Estate Owned, Net - Schedule of Lease Expense (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Ground Lease
Real Estate [Line Items]
Operating lease cost	$ 2,079,000	$ 2,214,750

Real Estate Owned, Net - Sche_2

Real Estate Owned, Net - Schedule of Non-cash Information (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Real Estate [Abstract]
Amounts included in the measurement of lease liability, Operating lease	$ 2,079,000	$ 2,214,750
Right-of-use assets obtained in exchange for lease obligations, Operating lease	$ 2,079,000	$ 2,214,750

Real Estate Owned, Net - Maturi

Real Estate Owned, Net - Maturities of Operating Lease Liabilities (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Real Estate [Abstract]
2023	$ 2,079,000
2024	2,079,000
2025	2,079,000
2026	2,079,000
2027	2,079,000
Thereafter	122,227,875
Total lease payments	132,622,875
Less: Imputed interest	(105,244,089)
Total	$ 27,378,786	$ 27,394,936

Fair Value Measurements - Fair

Fair Value Measurements - Fair Value Measurements of Marketable Securities, by Major Class (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities	$ 147,960	$ 1,310,000	$ 1,287,500
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities	147,960	1,310,000
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities	0	0
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities	0	0
Equity securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities	147,960	1,310,000
Equity securities | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities		1,310,000
Equity securities | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities	0	0
Equity securities | Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Marketable securities	$ 0	$ 0

Fair Value Measurements - Activ

Fair Value Measurements - Activities of the Marketable Securities (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Fair Value Measurement [Abstract]
Beginning balance	$ 1,310,000	$ 1,287,500
Purchases	136,265	6,479,148
Proceeds from sale	(1,259,417)	(6,608,396)
Reclassification of net realized gains on marketable securities into earnings	83,411	129,248
Unrealized (losses) gains on marketable securities	(122,299)	22,500
Ending balance	$ 147,960	$ 1,310,000

Fair Value Measurements - Fai_2

Fair Value Measurements - Fair Value Measurements, Nonrecurring (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Loans:
Principal Amount	$ 645,795,459	$ 480,151,151
Loans held for investment	626,490,767	469,673,314
Allowance for loan losses	(25,471,890)	(13,658,481)	$ (3,738,758)
Fair Value	623,145,754	467,201,619
Liabilities:
Principal Amount	451,349,737	370,566,055
Carrying Value	442,811,751	364,910,392
Fair Value	431,569,684	370,793,089
Loans held for investment, net
Loans:
Loans held for investment	584,417,939	457,329,582
Loans held for investment acquired through participation
Loans:
Principal Amount	41,726,565	12,307,366
Loans held for investment	42,072,828	12,343,732
Unsecured notes payable
Liabilities:
Principal Amount	123,500,000	85,125,000
Carrying Value	116,530,673	81,856,799
Fair Value	103,481,748	85,210,125
Level 3
Loans:
Allowance for loan losses	(25,471,890)	(13,658,481)
Fair Value	623,145,754	467,201,619
Liabilities:
Fair Value	328,087,936	285,582,964
Level 3 | Revolving line of credit
Liabilities:
Principal Amount	90,135,865	38,575,895
Carrying Value	89,807,448	38,186,472
Fair Value	90,135,865	38,575,895
Level 3 | Loans held for investment, net
Loans:
Principal Amount	604,068,894	467,843,785
Loans held for investment	609,889,829	470,988,063
Fair Value	581,182,892	454,840,551
Level 3 | Loans held for investment acquired through participation
Loans:
Principal Amount	41,726,565	12,307,366
Loans held for investment	42,072,828	12,343,732
Fair Value	41,962,862	12,361,068
Level 3 | Term loan payable
Liabilities:
Principal Amount	25,000,000	93,763,470
Carrying Value	25,000,000	91,940,062
Fair Value	25,000,000	94,344,595
Level 3 | Repurchase agreement payable
Liabilities:
Principal Amount	170,876,606	44,569,600
Carrying Value	169,304,710	43,974,608
Fair Value	170,876,606	44,569,600
Level 3 | Obligations under participation agreements
Liabilities:
Principal Amount	12,584,958	42,048,294
Carrying Value	12,680,594	42,232,027
Fair Value	12,680,595	41,475,060
Level 3 | Mortgage loan payable
Liabilities:
Principal Amount	29,252,308	31,962,692
Carrying Value	29,488,326	32,134,295
Fair Value	29,394,870	32,192,785
Level 3 | Secured borrowing
Liabilities:
Principal Amount	0	34,521,104
Carrying Value	0	34,586,129
Fair Value	0	34,425,029
Level 1 | Unsecured notes payable
Liabilities:
Principal Amount	123,500,000	85,125,000
Carrying Value	116,530,673	81,856,799
Fair Value	$ 103,481,748	$ 85,210,125

Fair Value Measurements - Valua

Fair Value Measurements - Valuation Techniques (Details)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair Value Measurement Inputs and Valuation Techniques
Assets, Fair Value	$ 623,145,754	$ 467,201,619
Liabilities, Fair Value	431,569,684	370,793,089
Level 3
Fair Value Measurement Inputs and Valuation Techniques
Assets, Fair Value	623,145,754	467,201,619
Liabilities, Fair Value	328,087,936	285,582,964
Level 3 | Revolving line of credit
Fair Value Measurement Inputs and Valuation Techniques
Liabilities, Fair Value	90,135,865	38,575,895
Level 3 | Loans held for investment, net
Fair Value Measurement Inputs and Valuation Techniques
Assets, Fair Value	581,182,892	454,840,551
Level 3 | Loans held for investment acquired through participation, net
Fair Value Measurement Inputs and Valuation Techniques
Assets, Fair Value	41,962,862	12,361,068
Level 3 | Repurchase agreement payable
Fair Value Measurement Inputs and Valuation Techniques
Liabilities, Fair Value	170,876,606	44,569,600
Level 3 | Obligations under participation agreements
Fair Value Measurement Inputs and Valuation Techniques
Liabilities, Fair Value	12,680,595	41,475,060
Level 3 | Mortgage loan payable
Fair Value Measurement Inputs and Valuation Techniques
Liabilities, Fair Value	29,394,870	32,192,785
Level 3 | Term loan payable
Fair Value Measurement Inputs and Valuation Techniques
Liabilities, Fair Value	25,000,000	94,344,595
Level 3 | Secured borrowing
Fair Value Measurement Inputs and Valuation Techniques
Liabilities, Fair Value	$ 0	$ 34,425,029
Level 3 | Discounted Cash Flow | Discount Rate | Revolving line of credit | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0764	0.0400
Level 3 | Discounted Cash Flow | Discount Rate | Revolving line of credit | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0764	0.0400
Level 3 | Discounted Cash Flow | Discount Rate | Revolving line of credit | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0764	0.0400
Level 3 | Discounted Cash Flow | Discount Rate | Loans held for investment, net | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0871	0.0389
Level 3 | Discounted Cash Flow | Discount Rate | Loans held for investment, net | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1936	0.1500
Level 3 | Discounted Cash Flow | Discount Rate | Loans held for investment, net | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1146	0.0811
Level 3 | Discounted Cash Flow | Discount Rate | Loans held for investment acquired through participation, net | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1525	0.0825
Level 3 | Discounted Cash Flow | Discount Rate | Loans held for investment acquired through participation, net | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1706	0.1500
Level 3 | Discounted Cash Flow | Discount Rate | Loans held for investment acquired through participation, net | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1667	0.1233
Level 3 | Discounted Cash Flow | Discount Rate | Repurchase agreement payable | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0522	0.0245
Level 3 | Discounted Cash Flow | Discount Rate | Repurchase agreement payable | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0617	0.0274
Level 3 | Discounted Cash Flow | Discount Rate | Repurchase agreement payable | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0682	0.0257
Level 3 | Discounted Cash Flow | Discount Rate | Obligations under participation agreements | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1636	0.1237
Level 3 | Discounted Cash Flow | Discount Rate | Obligations under participation agreements | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1636	0.1500
Level 3 | Discounted Cash Flow | Discount Rate | Obligations under participation agreements | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.1636	0.1431
Level 3 | Discounted Cash Flow | Discount Rate | Mortgage loan payable | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0824	0.0608
Level 3 | Discounted Cash Flow | Discount Rate | Mortgage loan payable | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0824	0.0608
Level 3 | Discounted Cash Flow | Discount Rate | Mortgage loan payable | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0824	0.0608
Level 3 | Discounted Cash Flow | Discount Rate | Term loan payable | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0563	0.0400
Level 3 | Discounted Cash Flow | Discount Rate | Term loan payable | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0563	0.0400
Level 3 | Discounted Cash Flow | Discount Rate | Term loan payable | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input	0.0563	0.0400
Level 3 | Discounted Cash Flow | Discount Rate | Secured borrowing | Minimum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input		0.0664
Level 3 | Discounted Cash Flow | Discount Rate | Secured borrowing | Maximum
Fair Value Measurement Inputs and Valuation Techniques
Measurement input		0.0664
Level 3 | Discounted Cash Flow | Discount Rate | Secured borrowing | Weighted Average
Fair Value Measurement Inputs and Valuation Techniques
Measurement input		0.0664

Related Party Transactions - Sc

Related Party Transactions - Schedule of Fees Paid and Costs Reimbursed to the Manager (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Related Party Transaction [Line Items]
Origination and extension fee expense	$ 2,967,291	$ 2,729,598
Asset management fee	6,556,492	5,134,149
Asset servicing fee	1,560,044	1,181,924
Operating expenses reimbursed to Manager	8,076,321	6,916,371
Disposition fee	890,194	1,006,302
Total	20,050,342	16,968,344
Mavik RESOF
Related Party Transaction [Line Items]
Acquisition costs, period cost	$ 200,000	$ 300,000

Related Party Transactions - Na

Related Party Transactions - Narratives (Details) - USD ($)		12 Months Ended
	Aug. 03, 2020	Dec. 31, 2022	Dec. 31, 2021
Related Party Transaction [Line Items]
Termination fee		$ 0	$ 0
Distribution to investors		16,048,707	17,110,136
Investment company, return of capital distribution		6,500,000	14,600,000
Due to manager		3,935,997	2,388,317
Due from related party		$ 0	$ 2,605,639
Manager or its affiliates
Related Party Transaction [Line Items]
Percent of origination fees payable		1%
Percent of principal amount of loan extended		1%
Management fee, annual rate		1%
Asset servicing fee annual rate		0.25%
Disposition fee due to manager percent		1%
Mavik Real Estate Special Opportunities Fund, LP
Related Party Transaction [Line Items]
Committed capital	$ 50,000,000

Related Party Transactions - Pa

Related Party Transactions - Participation Interests Purchased (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Related Party Transaction [Line Items]
Principal Balance	$ 645,795,459	$ 480,151,151
Carrying Value	626,490,767	469,673,314
Loans held for investment acquired through participation, net
Related Party Transaction [Line Items]
Principal Balance	41,726,565	12,307,366
Carrying Value	$ 42,072,828	$ 12,343,732
Loans held for investment acquired through participation, net | Havemeyer TSM LLC
Related Party Transaction [Line Items]
Participating Interests	23%
Principal Balance	$ 3,282,208
Carrying Value	$ 3,313,813
Loans held for investment acquired through participation, net | Mesa AZ Industrial Owner, LLC
Related Party Transaction [Line Items]
Participating Interests	38.27%
Principal Balance	$ 31,000,000
Carrying Value	$ 31,276,468
Loans held for investment acquired through participation, net | UNIJ Sole Member LLC
Related Party Transaction [Line Items]
Participating Interests	40.80%	40.80%
Principal Balance	$ 7,444,357	$ 7,444,357
Carrying Value	$ 7,482,547	$ 7,477,190
Loans held for investment acquired through participation, net | Hillsborough Owners LLC
Related Party Transaction [Line Items]
Participating Interests		30%
Principal Balance		$ 4,863,009
Carrying Value		$ 4,866,542

Related Party Transactions - Tr

Related Party Transactions - Transfers of Participation Interest (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Related Party Transaction [Line Items]
Principal Balance	$ 645,795,459	$ 480,151,151
Carrying Value	626,490,767	469,673,314
Principal Balance	451,349,737	370,566,055
Carrying Value	25,000,000	91,940,062
Gain on extinguishment of obligations under participation agreements	3,435,902	0
Participating Mortgage Loan
Related Party Transaction [Line Items]
Principal Balance	18,625,738	100,619,048
Carrying Value	18,738,386	100,974,244
Principal Balance	12,584,958	42,048,294
Carrying Value	12,680,594	42,232,027
Participating Mortgage Loan | 610 Walnut Investors LLC
Related Party Transaction [Line Items]
Principal Balance	18,625,738
Carrying Value	$ 18,738,386
% Transferred	67.57%
Principal Balance	$ 12,584,958
Carrying Value	$ 12,680,594
Participating Mortgage Loan | 370 Lex Part Deux, LLC
Related Party Transaction [Line Items]
Principal Balance		60,012,639
Carrying Value		$ 60,012,639
% Transferred		35%
Principal Balance		$ 21,004,424
Carrying Value		21,004,423
Participating Mortgage Loan | RS JZ Driggs, LLC
Related Party Transaction [Line Items]
Principal Balance		15,606,409
Carrying Value		$ 15,754,641
% Transferred		50%
Principal Balance		$ 7,806,370
Carrying Value		7,880,516
Participating Mortgage Loan | William A. Shopoff & Cindy I. Shopoff
Related Party Transaction [Line Items]
Principal Balance		25,000,000
Carrying Value		$ 25,206,964
% Transferred		52.95%
Principal Balance		$ 13,237,500
Carrying Value		$ 13,347,088

Related Party Transactions - _2

Related Party Transactions - Transferred to Third-Party (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Related Party Transaction [Line Items]
Principal Balance	$ 645,795,459	$ 480,151,151
Carrying Value	626,490,767	469,673,314
Principal Balance	451,349,737	370,566,055
Carrying Value	$ 25,000,000	91,940,062
Secured borrowing
Related Party Transaction [Line Items]
Principal Balance		49,954,068
Carrying Value		50,264,568
Principal Balance		34,521,104
Carrying Value		34,586,129
Secured borrowing | Windy Hill PV Five CM, LLC [Member]
Related Party Transaction [Line Items]
Principal Balance		49,954,068
Carrying Value		$ 50,264,568
% Transferred		69.11%
Principal Balance		$ 34,521,104
Carrying Value		$ 34,586,129

Debt - Narratives - Unsecured N

Debt - Narratives - Unsecured Notes Payable (Details) - USD ($)	Jun. 25, 2021	Jun. 10, 2021	Feb. 26, 2021	Feb. 10, 2021	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument
Principal Amount					$ 451,349,737	$ 370,566,055
Unsecured notes payable
Debt Instrument
Principal Amount					123,500,000	85,125,000
Unsecured notes payable | 6.00% Senior Notes Due 2026
Debt Instrument
Fixed rate	6%	6%
Principal Amount	$ 6,600,000	$ 78,500,000			$ 85,125,000	85,125,000
Proceeds from Issuance of Debt	6,400,000	76,000,000
Debt issuance costs, gross	$ 200,000	$ 2,500,000
Asset coverage ratio					150%
Unsecured notes payable | 7.00% Senior Notes Due 2026
Debt Instrument
Fixed rate			7%	7%
Principal Amount			$ 3,600,000	$ 34,800,000	$ 38,375,000	$ 0
Proceeds from Issuance of Debt			3,500,000	33,700,000
Debt issuance costs, gross			$ 100,000	$ 1,100,000
Debt instrument, redemption price, percentage				100%

Debt - Unsecured Notes Payable

Debt - Unsecured Notes Payable (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021	Jun. 25, 2021	Jun. 10, 2021	Feb. 26, 2021	Feb. 10, 2021
Debt Instrument
Principal Balance	$ 451,349,737	$ 370,566,055
Carrying Value	442,811,751	364,910,392
Fair Value	431,569,684	370,793,089
Unsecured notes payable
Debt Instrument
Principal Balance	123,500,000	85,125,000
Carrying Value	116,530,673	81,856,799
Fair Value	103,481,748	85,210,125
Unsecured notes payable | 6.00% Senior Notes Due 2026
Debt Instrument
Principal Balance	85,125,000	85,125,000	$ 6,600,000	$ 78,500,000
Carrying Value	82,487,769	81,856,799
Fair Value	68,100,000	85,210,125
Unamortized discount	1,900,000	2,400,000
Unamortized deferred financing costs	700,000	900,000
Unsecured notes payable | 7.00% Senior Notes Due 2026
Debt Instrument
Principal Balance	38,375,000	0			$ 3,600,000	$ 34,800,000
Carrying Value	34,042,904	0
Fair Value	35,381,748	$ 0
Unamortized discount	$ 4,300,000

Debt - Narratives - Revolving L

Debt - Narratives - Revolving Line of Credit (Details)		12 Months Ended
	Mar. 12, 2021 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Jan. 04, 2022 USD ($)	Nov. 08, 2021 USD ($)
Debt Instrument
Maximum borrowing capacity		$ 90,100,000	$ 38,600,000
Payment of financing costs		1,033,097	2,295,347
Line of credit facility collateral assets		177,400,000	60,100,000
Proceeds from borrowings under revolving line of credit		130,519,295	38,575,895
Repayments of lines of credit		78,959,325	$ 0
UBS Master Repurchase Agreement | Terra Mortgage Capital LLC
Debt Instrument
Maximum borrowing capacity					$ 195,000,000
Payment guarantee maximum percent					25%
Minimum net worth required for compliance					$ 215,700,000
Ratio of indebtedness to net capital					3.50
Revolving line of credit
Debt Instrument
Maximum borrowing capacity	$ 75,000,000			$ 125,000,000
Minimum net worth required for compliance		250,000,000
Quarterly operating profit for compliance		$ 3,500,000
Ratio of indebtedness to net capital		2.50
Payment of financing costs		$ 600,000
Revolving line of credit | Floor rate
Debt Instrument
Debt instrument, basis spread on variable rate	4%
Revolving line of credit | LIBOR
Debt Instrument
Debt instrument, basis spread on variable rate	3.25%

Debt - Narratives - Term Loan (

Debt - Narratives - Term Loan (Details)		12 Months Ended
	Feb. 18, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Sep. 03, 2020 USD ($)
Debt Instrument
Debt instrument, face		$ 451,349,737	$ 370,566,055
Interest expense, debt		1,507,572	1,576,502
Repayment of borrowings under the term loan		(93,763,471)	(16,585,001)
Proceeds from borrowings under the term loan		0	2,764,020
Indenture and credit Agreement | Class B Loan
Debt Instrument
Debt instrument, face				$ 76,700,000
Term Loan
Debt Instrument
Debt instrument, face			$ 93,763,470
Term Loan | Indenture and credit Agreement
Debt Instrument
Debt instrument, face				$ 103,000,000
Interest expense, debt	$ 400,000
Term Loan | Indenture and credit Agreement | Minimum
Debt Instrument
Debt instrument covenant liquidity		$ 10,000,000
Term Loan | Indenture and credit Agreement | Maximum
Debt Instrument
EBITDA To interest expense ratio		1.5
Term Loan | Indenture and credit Agreement | LIBOR
Debt Instrument
Debt instrument, basis spread on variable rate	4.25%
Debt instrument additional variable rate in year two	0.50%
Debt instrument additional variable rate in year three	0.25%
Debt instrument covenant requirement on consolidated tangible net worth minimum percent		75%
Term Loan | Indenture and credit Agreement | LIBOR | Floor rate
Debt Instrument
Debt instrument, basis spread on variable rate	1%

Debt - Schedule of Term Loan (D

Debt - Schedule of Term Loan (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument
Principal Amount	$ 645,795,459	$ 480,151,151
Loans held for investment	626,490,767	469,673,314
Fair Value	623,145,754	467,201,619
Principal Balance	$ 451,349,737	370,566,055
Term Loan
Debt Instrument
Principal Amount		163,127,047
Loans held for investment		164,142,316
Fair Value		162,526,736
Principal Balance		93,763,470
Term Loan | 330 Tryon DE LLC
Debt Instrument
Principal Amount		22,800,000
Loans held for investment		22,902,354
Fair Value		22,594,654
Principal Balance		13,680,000
Term Loan | 1389 Peachtree St, LP; 1401 Peachtree St, LP; and 1409 Peachtree St, LP
Debt Instrument
Principal Amount		53,289,288
Loans held for investment		53,536,884
Fair Value		52,031,363
Principal Balance		31,283,661
Term Loan | AGRE DCP Palm Springs, LLC
Debt Instrument
Principal Amount		43,222,381
Loans held for investment		43,669,992
Fair Value		43,829,842
Principal Balance		23,146,265
Term Loan | Patrick Henry Recovery Acquisition, LLC
Debt Instrument
Principal Amount		18,000,000
Loans held for investment		18,041,124
Fair Value		18,055,377
Principal Balance		10,800,000
Term Loan | University Park Berkeley, LLC
Debt Instrument
Principal Amount		25,815,378
Loans held for investment		25,991,962
Fair Value		26,015,500
Principal Balance		$ 14,853,544

Debt - Narratives - Repurchase

Debt - Narratives - Repurchase agreement (Details)			1 Months Ended	12 Months Ended
	Nov. 08, 2021 USD ($)	Nov. 08, 2021 USD ($)	Mar. 31, 2022	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Debt Instrument
Repayments Of Debt Under Repurchase Agreements				$ 25,599,600	$ 0
Maximum borrowing capacity				90,100,000	38,600,000
Cash and cash equivalents				28,567,825	35,783,956
Proceeds from borrowings under repurchase agreements				151,906,606	44,569,600
UBS Master Repurchase Agreement | Terra Mortgage Capital LLC
Debt Instrument
Maximum borrowing capacity	$ 195,000,000	$ 195,000,000
Deferred financing costs	$ 600,000	$ 600,000
Payment guarantee maximum percent	25%	25%
Cash liquidity	$ 5,000,000	$ 5,000,000
Debt instrument covenant minimum percentage of cash liquidity	5%	5%
Cash and cash equivalents	$ 15,000,000	$ 15,000,000
Minimum percentage of total liquidity	10%	10%
Minimum net worth required for compliance	$ 215,700,000	$ 215,700,000
Debt instrument covenant requirement on consolidated tangible net worth minimum percent	75%	75%
EBITDA To interest expense ratio		1.50	1.25
Ratio of indebtedness to net capital	3.50	3.50
Proceeds from borrowings under repurchase agreements				32,100,000	44,600,000
UBS Master Repurchase Agreement | 14th & Alice Street Owner, LLC
Debt Instrument
Repayments Of Debt Under Repurchase Agreements				25,600,000	$ 0
UBS Master Repurchase Agreement | Minimum | Terra Mortgage Capital LLC
Debt Instrument
Value-added assets with loan-to-value ratio	65%	65%
Value added assets yield ratio	2.50%	2.50%
UBS Master Repurchase Agreement | Minimum | Terra Mortgage Capital LLC | SOFR
Debt Instrument
Debt instrument, basis spread on variable rate	1.60%
UBS Master Repurchase Agreement | Maximum | Terra Mortgage Capital LLC
Debt Instrument
Value-added assets with loan-to-value ratio	80%	80%
Value added assets yield ratio	5%	5%
UBS Master Repurchase Agreement | Maximum | Terra Mortgage Capital LLC | SOFR
Debt Instrument
Debt instrument, basis spread on variable rate	2.25%
Uncommitted Master Repurchase Agreement | Terra Mortgage Capital LLC
Debt Instrument
Maximum borrowing capacity				200,000,000
Deferred financing costs				600,000
Cash liquidity				$ 5,000,000
Debt instrument covenant minimum percentage of cash liquidity				5%
Cash and cash equivalents				$ 15,000,000
Minimum percentage of total liquidity				10%
Debt instrument covenant requirement on consolidated tangible net worth minimum percent				75%
EBITDA To interest expense ratio				1.50
Ratio of indebtedness to net capital				3
Proceeds from borrowings under repurchase agreements				$ 119,800,000
Unamortized deferred financing costs				$ 1,700,000
Uncommitted Master Repurchase Agreement | Terra Mortgage Capital LLC | Nonperforming Loans
Debt Instrument
Payment guarantee maximum percent				50%
Uncommitted Master Repurchase Agreement | Terra Mortgage Capital LLC | Performing Loans
Debt Instrument
Payment guarantee maximum percent				25%
Uncommitted Master Repurchase Agreement | Minimum | Terra Mortgage Capital LLC | SOFR
Debt Instrument
Debt instrument, basis spread on variable rate				1.75%
Uncommitted Master Repurchase Agreement | Maximum | Terra Mortgage Capital LLC | SOFR
Debt Instrument
Debt instrument, basis spread on variable rate				3%

Debt - Schedule of Repurchase A

Debt - Schedule of Repurchase Agreements (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument
Principal Amount	$ 645,795,459	$ 480,151,151
UBS Master Repurchase Agreement
Debt Instrument
Principal Amount	68,100,000	67,384,000
Collateral, Carrying Value	69,163,440	68,509,209
Collateral, Fair Value	69,211,505	68,981,995
Borrowings Under Master Repurchase Agreement, Principal Amount	51,050,000	44,569,600
UBS Master Repurchase Agreement | NB Factory TIC 1, LLC
Debt Instrument
Principal Amount	28,000,000	28,000,000
Collateral, Carrying Value	28,857,892	28,420,056
Collateral, Fair Value	28,902,234	28,851,547
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 18,970,000	18,970,000
UBS Master Repurchase Agreement | NB Factory TIC 1, LLC | LIBOR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.74%
UBS Master Repurchase Agreement | NB Factory TIC 1, LLC | LIBOR | Floor rate
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	0.10%
UBS Master Repurchase Agreement | Grandview's Madison Place, LLC
Debt Instrument
Principal Amount	$ 17,000,000
Collateral, Carrying Value	17,105,928
Collateral, Fair Value	17,105,928
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 13,600,000
UBS Master Repurchase Agreement | Grandview's Madison Place, LLC | SOFR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.965%
UBS Master Repurchase Agreement | Grandview's Remington Place, LLC
Debt Instrument
Principal Amount	$ 23,100,000
Collateral, Carrying Value	23,199,620
Collateral, Fair Value	23,203,343
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 18,480,000
UBS Master Repurchase Agreement | Grandview's Remington Place, LLC | SOFR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.965%
UBS Master Repurchase Agreement | 14th & Alice Street Owner, LLC
Debt Instrument
Principal Amount		39,384,000
Collateral, Carrying Value		40,089,153
Collateral, Fair Value		40,130,448
Borrowings Under Master Repurchase Agreement, Principal Amount		$ 25,599,600
UBS Master Repurchase Agreement | 14th & Alice Street Owner, LLC | LIBOR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.45%
UBS Master Repurchase Agreement | 14th & Alice Street Owner, LLC | LIBOR | Floor rate
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	0.10%
Uncommitted Master Repurchase Agreement
Debt Instrument
Principal Amount	$ 167,549,028
Collateral, Carrying Value	168,692,405
Collateral, Fair Value	166,891,728
Borrowings Under Master Repurchase Agreement, Principal Amount	119,826,606
Uncommitted Master Repurchase Agreement | 14th & Alice Street Owner, LLC
Debt Instrument
Borrowings Under Master Repurchase Agreement, Principal Amount	0
Uncommitted Master Repurchase Agreement | 330 Tryon DE LLC
Debt Instrument
Principal Amount	22,800,000
Collateral, Carrying Value	22,902,215
Collateral, Fair Value	22,687,235
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 18,240,000
Uncommitted Master Repurchase Agreement | 330 Tryon DE LLC | SOFR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	2.015%
Uncommitted Master Repurchase Agreement | 330 Tryon DE LLC | SOFR | Floor rate
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	0.01%
Uncommitted Master Repurchase Agreement | 1389 Peachtree St, LP; 1401 Peachtree St, LP; and 1409 Peachtree St, LP
Debt Instrument
Principal Amount	$ 57,184,178
Collateral, Carrying Value	57,453,482
Collateral, Fair Value	56,844,322
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 41,587,275
Uncommitted Master Repurchase Agreement | 1389 Peachtree St, LP; 1401 Peachtree St, LP; and 1409 Peachtree St, LP | SOFR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	2.465%
Uncommitted Master Repurchase Agreement | AGRE DCP Palm Springs, LLC
Debt Instrument
Principal Amount	$ 43,222,382
Collateral, Carrying Value	43,758,804
Collateral, Fair Value	43,062,933
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 28,094,548
Uncommitted Master Repurchase Agreement | AGRE DCP Palm Springs, LLC | SOFR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.315%
Uncommitted Master Repurchase Agreement | AGRE DCP Palm Springs, LLC | SOFR | Floor rate
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.80%
Uncommitted Master Repurchase Agreement | Patrick Henry Recovery Acquisition, LLC
Debt Instrument
Principal Amount	$ 18,000,000
Collateral, Carrying Value	18,041,782
Collateral, Fair Value	17,824,300
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 14,400,000
Uncommitted Master Repurchase Agreement | Patrick Henry Recovery Acquisition, LLC | SOFR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	0.865%
Uncommitted Master Repurchase Agreement | Patrick Henry Recovery Acquisition, LLC | SOFR | Floor rate
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.50%
Uncommitted Master Repurchase Agreement | University Park Berkeley, LLC
Debt Instrument
Principal Amount	$ 26,342,468
Collateral, Carrying Value	26,536,122
Collateral, Fair Value	26,472,938
Borrowings Under Master Repurchase Agreement, Principal Amount	$ 17,504,783
Uncommitted Master Repurchase Agreement | University Park Berkeley, LLC | SOFR
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.365%
Uncommitted Master Repurchase Agreement | University Park Berkeley, LLC | SOFR | Floor rate
Debt Instrument
Borrowings Under Master Repurchase Agreement, Interest Rate	1.50%

Debt - Delayed Draw Term Loan (

Debt - Delayed Draw Term Loan (Details) - USD ($)	Apr. 09, 2021	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument
Term loan payable		$ 25,000,000	$ 91,940,062
Credit Agreement
Debt Instrument
Term loan payable	$ 25,000,000
Minimum incremental loans	1,000,000
Loans in excess	$ 500,000
Interest rate, increase	6.625%
Commitment fee percentage	2.50%
Unused capacity, commitment fee percentage	0.75%
Fixed rate	5.625%

Debt - Mortgage Loan Payable (D

Debt - Mortgage Loan Payable (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument
Principal Amount	$ 645,795,459
Carrying Value	626,490,767
Carrying Value of Collateral	651,962,657	$ 483,331,795
Centennial Bank
Debt Instrument
Principal Amount	29,252,308	31,962,692
Carrying Value	29,488,326	32,134,295
Carrying Value of Collateral	$ 40,581,847	$ 46,067,129
Centennial Bank | LIBOR
Debt Instrument
Current Interest Rate	3.85%
Centennial Bank | LIBOR | Minimum
Debt Instrument
Current Interest Rate	2.23%

Debt - Scheduled Debt Principal

Debt - Scheduled Debt Principal Payments (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Debt Disclosure [Abstract]
2023	$ 54,252,308
2024	261,012,472
2025	0
2026	123,500,000
2027	0
Thereafter	0
Long term debt	438,764,780
Unamortized deferred financing costs	(8,633,623)	$ 5,900,000
Total	$ 430,131,157

Debt - Narratives - Obligations

Debt - Narratives - Obligations Under Participation Agreements and Secured Borrowing (Details) - USD ($)	Dec. 31, 2022	Dec. 31, 2021
Debt Instrument
Participation mortgage loan	$ 25,000,000	$ 91,940,062
Loans held for investment	626,490,767	469,673,314
Secured borrowing
Debt Instrument
Participation mortgage loan		34,586,129
Loans held for investment		50,264,568
Participating Mortgage Loan
Debt Instrument
Participation mortgage loan	12,680,594	42,232,027
Loans held for investment	$ 18,738,386	$ 100,974,244
Participating Mortgage Loan | Weighted Average
Debt Instrument
Weighted-average interest rate	16.40%	10.40%

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Millions		12 Months Ended
	Aug. 03, 2020	Dec. 31, 2022	Dec. 31, 2021
Other Commitments
Unfunded commitment outstanding		$ 47.3	$ 71.8
Ground Lease
Other Commitments
Base rent renewal term		5 years
Percent of fair market value of land		9%
Mavik RESOF
Other Commitments
Unfunded commitment outstanding		$ 22.4	15.1
Committed capital	$ 50
Mavik RESOF
Other Commitments
Unfunded commitment outstanding			$ 15.1
Committed capital	$ 50

Equity - Earnings Per Share (De

Equity - Earnings Per Share (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Equity [Abstract]
Net loss	$ (6,951,693)	$ (12,355,727)
Series A preferred stock dividend declared	(15,624)	(15,624)
Net loss allocable to common stock	$ (6,967,317)	$ (12,371,351)
Weighted-average shares outstanding — basic (in shares)	20,709,400	19,487,460
Weighted-average shares outstanding — diluted (in shares)	20,709,400	19,487,460
Loss per share — basic (in usd per share)	$ (0.34)	$ (0.63)
Loss per share — diluted (in usd per share)	$ (0.34)	$ (0.63)

Equity - Preferred Stock Classe

Equity - Preferred Stock Classes (Details) - USD ($)		12 Months Ended
	Nov. 30, 2016	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2016
Class of Stock
Preferred stock, authorized (in shares)		50,000,000	50,000,000
Preferred stock, par value (in usd per share)		$ 0.01	$ 0.01
Series A Preferred Stock
Class of Stock
Preferred stock, authorized (in shares)	125	125	125
Preferred stock, issued		$ 125,000	$ 125,000
Preferred stock, dividend rate, percentage	12.50%	12.50%	12.50%	12.50%
Preferred stock, liquidation preference (in usd per share)	$ 1,000
Preferred stock sold (in shares)				125
Preferred stock value sold				$ 125,000
Preferred stock, redemption price (in usd per share)		$ 1,000
Preferred stock redemption premium (in usd per share)		$ 50

Equity - Common Stock (Details)

Equity - Common Stock (Details) - $ / shares	Dec. 31, 2022	Oct. 01, 2022	Sep. 30, 2022	Dec. 31, 2021	Mar. 02, 2020
Equity disclosure
Common stock, shares authorized (in shares)	0	950,000,000		450,000,000
Common stock, par or stated value per share (in usd per share)	$ 0.01			$ 0.01
Common stock, shares, issued (in shares)	0			19,487,460	4,574,470.35
CommonAndPreferred [Member]
Equity disclosure
Common stock, shares authorized (in shares)			500,000,000
Class A Common Stock
Equity disclosure
Common stock, shares authorized (in shares)	450,000,000	450,000,000
Common stock, par or stated value per share (in usd per share)	$ 0.01	$ 0.01		$ 0.01
Common stock, shares, issued (in shares)	0			0
Class B Common Stock
Equity disclosure
Common stock, shares authorized (in shares)	450,000,000	450,000,000		0
Common stock, par or stated value per share (in usd per share)	$ 0.01	$ 0.01		$ 0.01
Common stock, shares, issued (in shares)	24,335,370
Preferred Stock
Equity disclosure
Common stock, shares authorized (in shares)		50,000,000
Terra BDC | Class B Common Stock
Equity disclosure
Common stock, shares, issued (in shares)		4,847,910
Terra JV | Class B Common Stock
Equity disclosure
Equity method investment, ownership percentage	70%
Terra BDC | Class B Common Stock
Equity disclosure
Equity method investment, ownership percentage	19.90%
Terra Offshore REIT | Class B Common Stock
Equity disclosure
Equity method investment, ownership percentage	10.10%

Equity - Distributions (Details

Equity - Distributions (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Equity [Abstract]
Distribution to investors	$ 16,048,707	$ 17,110,136
Investment company, return of capital distribution	6,500,000	14,600,000
Preferred stock dividend declared	$ 15,624	$ 15,624

Equity - Distributions Per Shar

Equity - Distributions Per Share (Details) - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Equity disclosure
Common Stock, Dividends, Per Share, Cash Paid	$ 0.78	$ 0.88
Ordinary income
Equity disclosure
Common Stock, Dividends, Per Share, Cash Paid	0.47	0.07
Capital gains
Equity disclosure
Common Stock, Dividends, Per Share, Cash Paid	0	0.06
Return of capital
Equity disclosure
Common Stock, Dividends, Per Share, Cash Paid	$ 0.31	$ 0.75

Schedule III _ Real Estate an_2

Schedule III – Real Estate and Accumulated Depreciation (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Real Estate and Accumulated Depreciation
Encumbrance	$ 29,252,308
Initial Costs
Land	14,703,359
Building and Building Improvements	51,308,076
Cost Capitalized Subsequent to Acquisition	2,750,604
Decrease in Net Investment	(14,945,430)
Gross Amount at Period End
Land	0
Building and Building Improvements	53,816,609
Total	53,816,609	$ 63,816,609
Accumulated Depreciation	7,156,383	$ 5,491,541
CA | Office building in Santa Monica, CA
Real Estate and Accumulated Depreciation
Encumbrance	29,252,308
Initial Costs
Land	0
Building and Building Improvements	51,308,076
Cost Capitalized Subsequent to Acquisition	2,508,533
Decrease in Net Investment	0
Gross Amount at Period End
Land	0
Building and Building Improvements	53,816,609
Total	53,816,609
Accumulated Depreciation	$ 7,156,383
Life Used for Depreciation	40 years
PA | Land in Conshohocken, PA
Real Estate and Accumulated Depreciation
Encumbrance	$ 0
Initial Costs
Land	14,703,359
Building and Building Improvements	0
Cost Capitalized Subsequent to Acquisition	242,071
Decrease in Net Investment	(14,945,430)
Gross Amount at Period End
Land	0
Building and Building Improvements	0
Total	0
Accumulated Depreciation	$ 0

Schedule III - Rollforward of R

Schedule III - Rollforward of Real Estate Assets and Accumulated Depreciation (Details)	12 Months Ended
	Dec. 31, 2022 USD ($)
Real Estate Asset
Balance, beginning of year	$ 63,816,609
Sale of land	(8,395,011)
Impairment charge	(1,604,989)
Balance, end of year	53,816,609
Accumulated Depreciation
Balance, beginning of year	5,491,541
Depreciation for the year	1,664,842
Balance, end of year	$ 7,156,383

Schedule III - Real Estate and

Schedule III - Real Estate and Accumulated Depreciation- Narratives (Details) - USD ($)	1 Months Ended	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2019
SEC Schedule, 12-28, Real Estate Companies, Investment in Real Estate and Accumulated Depreciation Disclosure [Abstract]
Impairment charge		$ 1,600,000	$ 1,604,989	$ 3,395,430	$ 1,500,000
Proceeds from sale of real estate	$ 8,600,000		8,585,500	$ 0
Loss on Sale of Investments	$ 100,000
Aggregate cost of real estate for federal income tax purpose			$ 57,600,000

Schedule IV _ Mortgage Loans _2

Schedule IV – Mortgage Loans on Real Estate (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	11.59%	7.85%
Floor interest rate	4.30%
Face Amount	$ 645,795,459
Carrying Amount	626,490,767
Allowance for loan losses	(25,471,890)	$ (13,658,481)
Credit facility
Investment in Mortgage Loans on Real Estate
Face Amount	28,802,833
Carrying Amount	$ 29,080,183
Investment, Identifier [Axis]: 1389 Peachtree St, LP; 1401 Peachtree St, LP; 1409 Peachtree St, LP
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.50%
Prior Liens	$ 0
Face Amount	57,184,178
Carrying Amount	$ 57,453,482
Investment, Identifier [Axis]: 14th & Alice Street Owner, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4%
Investment, Interest Rate, Floor	0.25%
Prior Liens	$ 0
Face Amount	1,364,944
Carrying Amount	$ 1,364,944
Investment, Identifier [Axis]: 150 Blackstone River Road, LLC
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	8.50%
Prior Liens	$ 0
Face Amount	7,000,000
Carrying Amount	$ 7,000,000
Investment, Identifier [Axis]: 330 Tryon DE LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.25%
Investment, Interest Rate, Floor	0.10%
Prior Liens	$ 0
Face Amount	22,800,000
Carrying Amount	$ 22,902,215
Investment, Identifier [Axis]: 370 Lex Part Deux, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	8.25%
Investment, Interest Rate, Floor	2.44%
Face Amount	$ 67,586,792
Carrying Amount	$ 67,586,792
Investment, Identifier [Axis]: 610 Walnut Investors LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	12%
Investment, Interest Rate, Floor	2%
Prior Liens	$ 0
Face Amount	18,625,738
Carrying Amount	$ 18,738,386
Investment, Identifier [Axis]: AAESUF Property LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	11.95%
Investment, Interest Rate, Floor	0.05%
Prior Liens	$ 0
Face Amount	17,860,291
Carrying Amount	$ 18,288,969
Investment, Identifier [Axis]: AARSHW Property LLC
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	20%
Loans basis spread on variable rate	7.50%
Investment, Interest Rate, Floor	0.15%
Prior Liens	$ 0
Face Amount	44,368,331
Carrying Amount	44,669,513
Debt Instrument, Incremental Borrowing	$ 4,000,000
Investment, Identifier [Axis]: AGRE DCP Palm Springs, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	5%
Investment, Interest Rate, Floor	1.80%
Prior Liens	$ 0
Face Amount	43,222,382
Carrying Amount	$ 43,758,804
Investment, Identifier [Axis]: American Gilsonite Company
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	14%
Prior Liens	$ 0
Face Amount	21,250,000
Carrying Amount	$ 21,840,359
Investment, Identifier [Axis]: Ann Street JV LLC
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	14%
Prior Liens	$ 0
Face Amount	15,217,540
Carrying Amount	15,648,482
Allowance for loan losses	(11,200,000)
Interest non-accrual	$ 3,700,000
Investment, Identifier [Axis]: Asano Bankers Hill, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	15%
Investment, Interest Rate, Floor	0.25%
Prior Liens	$ 0
Face Amount	17,450,623
Carrying Amount	$ 17,920,424
Investment, Identifier [Axis]: Dallas - US HWY 80 Owner, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.50%
Investment, Interest Rate, Floor	2.50%
Prior Liens	$ 0
Face Amount	11,395,169
Carrying Amount	$ 11,482,294
Investment, Identifier [Axis]: Dallas - 11221 Pagemill Owner, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.50%
Investment, Interest Rate, Floor	2.50%
Prior Liens	$ 0
Face Amount	7,624,106
Carrying Amount	$ 7,682,398
Investment, Identifier [Axis]: Dallas - 11333 Pagemill Owner, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.50%
Prior Liens	$ 0
Face Amount	12,296,945
Carrying Amount	$ 12,390,965
Investment, Identifier [Axis]: Dallas - Big Town Owner, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.50%
Investment, Interest Rate, Floor	2.50%
Prior Liens	$ 0
Face Amount	26,635,183
Carrying Amount	$ 26,838,830
Investment, Identifier [Axis]: Dallas - Oakland Owner, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.50%
Investment, Interest Rate, Floor	2.50%
Prior Liens	$ 0
Face Amount	9,673,597
Carrying Amount	$ 9,747,559
Investment, Identifier [Axis]: Dwight Mezz II, LLC
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	11%
Prior Liens	$ 0
Face Amount	3,000,000
Carrying Amount	$ 2,916,369
Investment, Identifier [Axis]: Grandview's Madison Place, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.45%
Investment, Interest Rate, Floor	0.05%
Prior Liens	$ 0
Face Amount	17,000,000
Carrying Amount	$ 17,105,928
Investment, Identifier [Axis]: Grandview's Remington Place, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.45%
Investment, Interest Rate, Floor	0.05%
Prior Liens	$ 0
Face Amount	23,100,000
Carrying Amount	$ 23,199,620
Investment, Identifier [Axis]: Havemeyer TSM LLC
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	15%
Prior Liens	$ 0
Face Amount	3,282,208
Carrying Amount	$ 3,313,813
Investment, Identifier [Axis]: Hillsborough Owners LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	8%
Investment, Interest Rate, Floor	0.25%
Prior Liens	$ 0
Face Amount	20,720,028
Carrying Amount	$ 21,138,947
Investment, Identifier [Axis]: Mesa AZ Industrial Owner, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	12.70%
Investment, Interest Rate, Floor	2.30%
Prior Liens	$ 0
Face Amount	31,000,000
Carrying Amount	$ 31,276,468
Investment, Identifier [Axis]: NB Factory TIC 1, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	5%
Investment, Interest Rate, Floor	0.25%
Prior Liens	$ 0
Face Amount	28,000,000
Carrying Amount	$ 28,857,892
Investment, Identifier [Axis]: Patrick Henry Recovery Acquisition, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	2.95%
Investment, Interest Rate, Floor	1.50%
Prior Liens	$ 0
Face Amount	18,000,000
Carrying Amount	$ 18,041,782
Investment, Identifier [Axis]: REEC Harlem Holdings Company LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	12.50%
Face Amount	$ 15,983,234
Carrying Amount	15,983,234
Allowance for loan losses	(12,900,000)
Interest non-accrual	$ 2,900,000
Investment, Identifier [Axis]: RS JZ Driggs, LLC
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	12.30%
Face Amount	$ 4,993,245
Carrying Amount	$ 4,993,245
Investment, Identifier [Axis]: The Lux Washington, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	7%
Investment, Interest Rate, Floor	0.75%
Prior Liens	$ 0
Face Amount	16,571,267
Carrying Amount	$ 16,722,091
Investment, Identifier [Axis]: UNJ Sole Member, LLC
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	15%
Prior Liens	$ 0
Face Amount	7,444,357
Carrying Amount	$ 7,482,547
Investment, Identifier [Axis]: University Park Berkeley, LLC
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	4.20%
Investment, Interest Rate, Floor	1.50%
Prior Liens	$ 0
Face Amount	26,342,468
Carrying Amount	$ 26,536,122
Investment, Identifier [Axis]: William A. Shopoff & Cindy I. Shopoff
Investment in Mortgage Loans on Real Estate
Interest Payment Rates	15%
Prior Liens	$ 0
Face Amount	28,802,833
Carrying Amount	29,080,183
Interest non-accrual	2,000,000
Debt Instrument, Incremental Borrowing	$ 3,000,000
SOFR
Investment in Mortgage Loans on Real Estate
Loans basis spread on variable rate	7%
Preferred equity investments:
Investment in Mortgage Loans on Real Estate
Face Amount	$ 121,231,434
Carrying Amount	122,132,177
First Mortgage
Investment in Mortgage Loans on Real Estate
Face Amount	456,408,889
Carrying Amount	461,299,182
Mezzanine Loans:
Investment in Mortgage Loans on Real Estate
Face Amount	39,352,303
Carrying Amount	$ 39,451,115

Schedule IV _ Mortgage Loans _3

Schedule IV – Mortgage Loans on Real Estate - RollForward (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Provision for loan losses	$ (11,813,409)	$ (10,904,163)
Balance, end of year	626,490,767
Real Estate Loan
Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Balance, beginning of year	469,673,314
New mortgage loans	290,005,676
Accrual, payment and accretion of investment-related fees and other, net	1,847,999
Collections of principal	(197,484,239)
Provision for loan losses	(11,813,409)
Amortization of premium	(557,012)
Balance, end of year	626,490,767	$ 469,673,314
Real Estate Loan | Terra BDC
Investment in Movement in Mortgage Loans on Real Estate [Roll Forward]
Loans acquired and contributed in connection with the BDC Merger	$ 74,818,438