Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2020 | Nov. 13, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | HMG | |
Entity Registrant Name | HMG COURTLAND PROPERTIES INC | |
Entity Central Index Key | 0000311817 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 1,007,248 | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Title of 12(b) Security | Common Stock | |
Security Exchange Name | NYSE | |
Entity Address, State or Province | FL |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Investment properties, net of accumulated depreciation: | ||
Office building and other commercial property | $ 914,414 | $ 925,963 |
Total investment properties, net | 914,414 | 925,963 |
Cash and cash equivalents | 7,399,410 | 15,382,596 |
Investments in marketable securities | 3,275,757 | 3,473,521 |
Other investments | 4,936,570 | 5,585,666 |
Investment in affiliate | 1,204,696 | 1,442,423 |
Loans, notes and other receivables | 1,344,814 | 2,519,570 |
Investment in residential real estate partnership, Fort Myers, FL | 3,627,598 | 3,627,598 |
Other assets | 116,690 | 55,152 |
TOTAL ASSETS | 22,819,949 | 33,012,489 |
LIABILITIES | ||
Margin payable | 1,908,608 | 9,916,774 |
Accounts payable, accrued expenses and other liabilities | 142,004 | 373,649 |
Note payable to affiliate | 650,000 | 1,000,000 |
Amounts due to Adviser for incentive fee | 0 | 81,333 |
Dividends payable | 0 | 506,646 |
Deferred income taxes payable | 50,425 | 77,485 |
TOTAL LIABILITIES | 2,751,037 | 11,955,887 |
STOCKHOLDERS' EQUITY | ||
Excess common stock, $1 par value; 100,000 shares authorized: no shares issued | 0 | 0 |
Common stock, $1 par value; 1,050,000 shares authorized, 1,013,292 shares issued and 1,007,248 shares outstanding as of September 30, 2020; and 1,013,292 shares issued and outstanding as of December 31, 2019 | 1,013,292 | 1,013,292 |
Additional paid-in capital | 23,859,686 | 23,859,686 |
Less: treasury shares: 6,044 as of September 30, 2020 and zero as of December 31, 2019 | (66,392) | 0 |
Undistributed gains from sales of properties, net of losses | 54,136,119 | 54,136,119 |
Undistributed losses from operations | (59,113,797) | (58,203,938) |
Total stockholders' equity | 19,828,908 | 20,805,159 |
Noncontrolling interest | 240,004 | 251,443 |
TOTAL EQUITY | 20,068,912 | 21,056,602 |
TOTAL LIABILITIES AND EQUITY | $ 22,819,949 | $ 33,012,489 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 |
Stockholders' Equity, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Excess common stock, par value | $ 1 | $ 1 |
Excess common stock, shares authorised | 100,000 | 100,000 |
Excess common stock, shares issued | 0 | 0 |
Common stock par value | $ 1 | $ 1 |
Common Stock, Shares Authorized | 1,050,000 | 1,050,000 |
Common Stock, Shares, Outstanding | 1,007,248 | 1,013,292 |
Common Stock, Shares, Issued | 1,013,292 | 1,013,292 |
Treasury Stock, Shares | 6,044 | 0 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS INCOME - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
REVENUES | ||||
Real estate rentals and related revenue | $ 19,515 | $ 18,786 | $ 58,546 | $ 56,358 |
Total revenues | 19,515 | 18,786 | 58,546 | 56,358 |
Operating expenses: | ||||
Rental and other properties | 26,603 | 31,223 | 60,384 | 76,236 |
Adviser's base fee | 165,000 | 165,000 | 495,000 | 495,000 |
General and administrative | 30,911 | 41,048 | 135,672 | 150,550 |
Professional fees and expenses | 18,204 | 22,637 | 133,132 | 144,662 |
Directors' fees and expenses | 19,000 | 21,583 | 56,250 | 59,744 |
Depreciation and amortization | 3,849 | 3,849 | 11,548 | 11,548 |
Interest expense | 5,326 | 13,447 | 24,655 | 42,748 |
Total expenses | 268,893 | 298,787 | 916,641 | 980,488 |
Loss before other income (loss) and income taxes | (249,378) | (280,001) | (858,095) | (924,130) |
Net realized and unrealized gains (losses) from investments in marketable securities | 119,306 | 12,190 | (266,200) | 252,747 |
Equity gain from operations of residential real estate partnerships | 0 | 3,225 | 0 | 3,225 |
Net income from other investments | 67,896 | 479,258 | 240,163 | 654,239 |
Other than temporary impairment losses from other investments | 0 | 0 | (315,000) | 0 |
Interest, dividend and other income | 71,208 | 136,909 | 248,676 | 375,336 |
Total other income (loss) | 258,410 | 631,582 | (92,361) | 1,285,547 |
Income (loss) before taxes | 9,032 | 351,581 | (950,456) | 361,417 |
(Provision for) benefit from income taxes | (76,196) | (12,010) | 29,158 | (14,954) |
Net (loss) income | (67,164) | 339,571 | (921,298) | 346,463 |
(Gain) loss attributable to non-controlling interest | (3,689) | (850) | 11,439 | (9,308) |
Net (loss) income attributable to the company | $ (70,853) | $ 338,721 | $ (909,859) | $ 337,155 |
Weighted average common shares outstanding-basic and diluted | 1,007,248 | 1,013,292 | 1,010,753 | 1,013,292 |
Net (loss) income per common share: | ||||
Basic and diluted net (loss) income per share | $ (0.07) | $ 0.33 | $ (0.90) | $ 0.33 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Undistributed Gains from Sales of Properties Net of Losses [Member] | Undistributed (Losses) gains from Operations [Member] | Treasury Stock [Member] |
Balance at Dec. 31, 2018 | $ 21,033,055 | $ 1,035,493 | $ 24,157,986 | $ 54,642,765 | $ (58,473,808) | $ (340,281) |
Balance (in shares) at Dec. 31, 2018 | 1,046,393 | 33,101 | ||||
Net income (loss) | (11,116) | $ 0 | 0 | 0 | (11,116) | $ 0 |
Balance at Mar. 31, 2019 | 21,021,939 | $ 1,046,393 | 24,157,986 | 54,642,765 | (58,484,924) | $ (340,281) |
Balance (in shares) at Mar. 31, 2019 | 1,046,393 | 33,101 | ||||
Balance at Dec. 31, 2018 | 21,033,055 | $ 1,035,493 | 24,157,986 | 54,642,765 | (58,473,808) | $ (340,281) |
Balance (in shares) at Dec. 31, 2018 | 1,046,393 | 33,101 | ||||
Net income (loss) | 337,155 | |||||
Retired 33,101 treasury shares | 340,281 | |||||
Balance at Sep. 30, 2019 | 21,379,090 | $ 1,013,292 | 23,859,686 | 54,642,765 | (58,136,653) | $ 0 |
Balance (in shares) at Sep. 30, 2019 | 1,013,292 | 0 | ||||
Balance at Mar. 31, 2019 | 21,021,939 | $ 1,046,393 | 24,157,986 | 54,642,765 | (58,484,924) | $ (340,281) |
Balance (in shares) at Mar. 31, 2019 | 1,046,393 | 33,101 | ||||
Net income (loss) | 9,550 | $ 0 | 0 | 0 | 9,550 | $ 0 |
Retired 33,101 treasury shares | $ (33,101) | (307,180) | $ 340,281 | |||
Retired 33,101 treasury shares (in shares) | (33,101) | (33,101) | ||||
Balance at Jun. 30, 2019 | 21,031,489 | $ 1,013,292 | 23,850,806 | 54,642,765 | (58,475,374) | $ 0 |
Balance (in shares) at Jun. 30, 2019 | 1,013,292 | 0 | ||||
Net income (loss) | 338,721 | $ 0 | 0 | 0 | 338,721 | $ 0 |
Non-employee stock option compensation | 8,880 | 0 | 8,880 | 0 | 0 | 0 |
Balance at Sep. 30, 2019 | 21,379,090 | $ 1,013,292 | 23,859,686 | 54,642,765 | (58,136,653) | $ 0 |
Balance (in shares) at Sep. 30, 2019 | 1,013,292 | 0 | ||||
Balance at Dec. 31, 2019 | $ 20,805,159 | $ 1,013,292 | 23,859,686 | 54,136,119 | (58,203,938) | $ 0 |
Balance (in shares) at Dec. 31, 2019 | 1,013,292 | 1,013,292 | 0 | |||
Net income (loss) | $ (964,869) | $ 0 | 0 | 0 | (964,869) | $ 0 |
Balance at Mar. 31, 2020 | 19,840,290 | $ 1,013,292 | 23,859,686 | 54,136,119 | (59,168,807) | $ 0 |
Balance (in shares) at Mar. 31, 2020 | 1,013,292 | 0 | ||||
Balance at Dec. 31, 2019 | $ 20,805,159 | $ 1,013,292 | 23,859,686 | 54,136,119 | (58,203,938) | $ 0 |
Balance (in shares) at Dec. 31, 2019 | 1,013,292 | 1,013,292 | 0 | |||
Net income (loss) | $ (909,859) | |||||
Retired 33,101 treasury shares | 0 | |||||
Balance at Sep. 30, 2020 | $ 19,828,908 | $ 1,013,292 | 23,859,686 | 54,136,119 | (59,113,797) | $ (66,392) |
Balance (in shares) at Sep. 30, 2020 | 1,007,248 | 1,013,292 | 6,044 | |||
Balance at Mar. 31, 2020 | $ 19,840,290 | $ 1,013,292 | 23,859,686 | 54,136,119 | (59,168,807) | $ 0 |
Balance (in shares) at Mar. 31, 2020 | 1,013,292 | 0 | ||||
Net income (loss) | 125,863 | $ 0 | 0 | 0 | 125,863 | $ 0 |
Purchased treasury shares | (66,392) | $ 0 | 0 | 0 | 0 | $ (66,392) |
Purchased treasury shares (in shares) | 0 | 6,044 | ||||
Balance at Jun. 30, 2020 | 19,899,761 | $ 1,013,292 | 23,859,686 | 54,136,119 | (59,042,944) | $ (66,392) |
Balance (in shares) at Jun. 30, 2020 | 1,013,292 | 6,044 | ||||
Net income (loss) | (70,853) | $ 0 | 0 | 0 | (70,853) | $ 0 |
Balance at Sep. 30, 2020 | $ 19,828,908 | $ 1,013,292 | $ 23,859,686 | $ 54,136,119 | $ (59,113,797) | $ (66,392) |
Balance (in shares) at Sep. 30, 2020 | 1,007,248 | 1,013,292 | 6,044 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net (loss) income attributable to the Company | $ (909,859) | $ 337,155 |
Adjustments to reconcile net (loss) income attributable to the Company to net cash used in operating activities: | ||
Depreciation and amortization expense | 11,548 | 11,548 |
Stock compensation expense | 0 | 8,880 |
Net income from other investments, excluding impairment losses | (240,163) | (654,239) |
Other than temporary impairment loss from other investments | 315,000 | 0 |
Equity gain from operations of residential real estate partnership | 0 | (3,225) |
Net losses (gains) from investments in marketable securities | 266,200 | (252,747) |
Net (loss) gain attributable to non-controlling interest | (11,439) | 9,308 |
Deferred income tax (benefit) expense | (29,158) | 15,450 |
Changes in assets and liabilities: | ||
Other assets and other receivables | (86,781) | (7,616) |
Accounts payable, accrued expenses and other liabilities | (310,877) | (1,785) |
Total adjustments | (85,670) | (874,426) |
Net cash used in operating activities | (995,529) | (537,271) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Net proceeds from sales and redemptions of securities | 1,212,702 | 1,096,670 |
Investments in marketable securities | (1,060,453) | (959,737) |
Distribution from investment in residential real estate partnership, Orlando, FL | 0 | 6,187 |
Contributions to investment residential real estate partnership, Fort Myers, FL | 0 | (3,000,000) |
Distributions from other investments | 597,668 | 1,435,879 |
Contributions to other investments | (227,268) | (919,613) |
Proceeds from collections of mortgage loans and notes receivables | 1,200,000 | 0 |
Distribution from affiliate | 220,899 | 220,899 |
Purchases and improvements of properties | 0 | (66,162) |
Net cash provided by (used in) investing activities | 1,943,548 | (2,185,877) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Margin borrowings | (8,008,167) | 68,754 |
Dividend paid | (506,646) | (506,646) |
Repayment of note payable to affiliate | (350,000) | (340,000) |
Purchase of treasury shares | (66,392) | 0 |
Net cash used in financing activities | (8,931,205) | (777,892) |
Net decrease in cash and cash equivalents | (7,983,186) | (3,501,040) |
Cash and cash equivalents at beginning of the period | 15,382,596 | 19,738,174 |
Cash and cash equivalents at end of the period | 7,399,410 | 16,237,134 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||
Cash paid during the period for interest | 25,000 | 43,000 |
NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||
Retirement of treasury stock during the period | $ 0 | $ 340,281 |
CONDENSED CONSOLIDATED FINANCIA
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Condensed Consolidated Financial Statements | 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS In the opinion of the Company, the accompanying unaudited condensed consolidated financial statements prepared in accordance with instructions for Form 10-Q, include all adjustments (consisting only of normal recurring accruals) which are necessary for a fair presentation of the results for the periods presented. Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. It is suggested that these condensed consolidated financial statements be read in conjunction with the Company's Annual Report for the year ended December 31, 2019. The balance sheet as of December 31, 2019 was derived from audited consolidated financial statements as of that date. The results of operations for the three and nine months ended September 30, 2020 are not necessarily indicative of the results to be expected for future periods or the full year. The condensed consolidated financial statements include the accounts of HMG/Courtland Properties, Inc. (the "Company" or “HMG”) and entities in which the Company owns a majority voting interest or controlling financial interest. All material transactions and balances with consolidated and unconsolidated entities have been eliminated in consolidation or as required under the equity method. |
COVID-19 DISCLOSURE
COVID-19 DISCLOSURE | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure of COVID 19 [Abstract] | |
COVID-19 Disclosure | 2. COVID-19 DISCLOSURE Management continues monitoring and managing operations to timely react to potential impacts of the ongoing pandemic on our business, financial condition, liquidity, results of operations and prospects. The ultimate extent of any impact of the pandemic we may experience is highly uncertain and cannot be predicted with confidence. During the quarter ended September 30, 2020, the value of our portfolio in marketable securities improved slightly from the previous quarter. We have made no substantial changes to our outlook regarding our marketable securities holdings from the second quarter. We experienced no further valuation impairments in our other investments during the current quarter (refer to Note 7). We will continue monitoring these investments to determine if any further valuation adjustments are necessary. Our construction project in Fort Myers, Florida remains on schedule and is projected for completion by the first quarter of 2021. Our liquidity remains strong and able to support continuing operations, fund commitments in other investments and meet all other liabilities as they become due in the foreseeable future. We continue to seek and explore development opportunities primarily in the multi-family segment, together with qualified partners in various markets. |
RECENT ACCOUNTING PRONOUNCEMENT
RECENT ACCOUNTING PRONOUNCEMENTS | 9 Months Ended |
Sep. 30, 2020 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | 3. RECENT ACCOUNTING PRONOUNCEMENTS There are several new accounting pronouncements issued or proposed by the Financial Accounting Standards Board (“FASB”). Each of these pronouncements, as applicable, has been or will be adopted by the Company. Management does not believe any of these accounting pronouncements has had or will have a material impact on the Company’s condensed consolidated financial position, operating results, or cash flow. |
INVESTMENT IN RESIDENTIAL REAL
INVESTMENT IN RESIDENTIAL REAL ESTATE PARTNERSHIP (FORT MYERS, FL) | 9 Months Ended |
Sep. 30, 2020 | |
Investment In Real Estate Partnership [Abstract] | |
Investment In Residential Real Estate Partnership | 4. INVESTMENT IN RESIDENTIAL REAL ESTATE PARTNERSHIP (FORT MYERS, FL) As previously reported on Form 8-K dated July 19, 2019, pursuant to the terms of a Construction and Mini Perm Loan Agreement ("Loan Agreement"), between Murano At Three Oaks Associates LLC, a Florida limited liability company formed in September 2018 (the “Borrower”) which is 25% owned by HMG, and PNC Bank, National Association ("Lender"), Lender provided a construction loan to the Borrower for the principal sum of approximately $41.59 million (“Loan”). The proceeds of the Loan shall be used to finance the construction of multi-family residential apartments containing 318 units totaling approximately 312,000 net rentable square feet on a 17.5-acre site located in Fort Myers, Florida ("Project"). The Project site was purchased by the Borrower concurrently with the closing of the Loan. Total development costs for the Project are estimated at approximately $56.08 million and the Borrower’s equity totals approximately $14.49 million. HMG’s share of the equity is 25%, or approximately $3.62 million. As of September 30, 2020, the outstanding balance on the Loan was approximately $24.89 million. The Project is 85% complete and is schedule to be fully completed by the first quarter of 2021. Leasing activities are underway. HMG and the other members (or affiliates thereof) of the Borrower ("Guarantors") entered into a Completion Guaranty ("Completion Guaranty") and a Guaranty and Suretyship Agreement ("Repayment Guaranty") (collectively, the “Guaranties”). Under the Completion Guaranty, each Guarantor shall unconditionally guaranty, as a primary obligor, and become surety for the prompt payment and performance by Borrower of the “Guaranteed Obligations” (as defined). Under the Repayment Guaranty, Guarantor unconditionally guarantees, as a primary obligor, and becomes surety for the prompt payment and performance of, as defined (i) all Interest Obligations, (ii) all Loan Document Obligations, (iii) all Expense Obligations, (iv) the Carrying Cost Obligations, (v) the Principal Amount, (vi) interest on each of the foregoing including, if applicable, interest at the Default Rate (as defined). At all times prior to the First Reduction Date (as defined below), the Guarantors are collectively responsible for 30% of the Principal Obligations, (ii) at all times after the First Reduction Date, the Guarantors are collectively responsible for 15% of the Principal Obligations, and (iii) at all times after the Second Reduction Date, 0% of the Principal Obligations. First Reduction Conditions" means satisfaction of the following conditions: (i) no Event of Default has occurred and is continuing; (ii) Completion of Construction has occurred; and (iii) the Project has achieved a DSCR of not less than 1.25 to 1.00 for two (2) consecutive fiscal quarters. Each Guarantor is required to maintain compliance with the following financial covenants, as defined: (1) liquidity shall not be less than $2.5 million. Liquidity is defined as the sum of unencumbered, unrestricted cash and cash equivalents and marketable securities, and (2) net worth shall not be less than $10 million. As of September 30, 2020, HMG was in compliance with all covenants required by Guarantors in the Loan Agreement. |
MONTPELIER, VERMONT PROPERTY
MONTPELIER, VERMONT PROPERTY | 9 Months Ended |
Sep. 30, 2020 | |
Montpelier Vermont Property [Abstract] | |
Montpelier Vermont Property | 5. MONTPELIER, VERMONT PROPERTY The Company’s property located in Montpelier, Vermont has completed the required environmental remediation as disclosed in our 2019 Form 10-K. Groundwater monitoring is ongoing and expected to be completed in the first quarter of 2021. The owners agreed with a local developer on a fixed fee of $500,000 to remediate the property, of which a balance of $125,000 is owed and payable upon the property receiving a Certificate of Completion (COC) from the State of Vermont Agency of Natural Resources (“ANR”). The COC provides certain liability protections for environmental contamination at the property under Vermont’s Brownsfields Reuse and Environmental Liability Limitation Act program (“BRELLA”). In August 2020, the existing owners of the property amended and restated the previously reported Pre-Development Agreement. The Amended and Restated Pre-Development Agreement calls for the transfer of 50% of our interest in the property to the local developer which remediated the property and 10% to an unrelated real estate 2.5 acres th |
INVESTMENTS IN MARKETABLE SECUR
INVESTMENTS IN MARKETABLE SECURITIES | 9 Months Ended |
Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Debt and Marketable Equity Securities | 6. INVESTMENTS IN MARKETABLE SECURITIES Investments in marketable securities consist primarily of large capital corporate equity and debt securities in varying industries or issued by government agencies with readily determinable fair values. These securities are stated at market value, as determined by the most recent traded price of each security at the balance sheet date. Consistent with the Company's overall current investment objectives and activities its entire marketable securities portfolio is classified as trading. Accordingly, all unrealized gains (losses) on this portfolio are recorded in income. Included in investments in marketable securities is approximately $1.61 million and $1.86 million of large capital real estate investment trusts (REITs) as of September 30, 2020 and December 31, 2019, respectively. Net realized and unrealized gain (loss) from investments in marketable securities for the three and nine months ended September 30, 2020 and 2019 is summarized below: Three months ended Nine months ended Description 2020 2019 2020 2019 Net realized (loss) gain from sales of securities $ (9,000 ) $ 17,000 $ (80,000 ) $ 6,000 Unrealized net gain (loss) in trading securities 128,000 (5,000 ) (186,000 ) 247,000 Total net gain (loss) from investments in marketable securities $ 119,000 $ 12,000 $ (266,000 ) $ 253,000 For the three months ended September 30, 2020, net realized loss from sales of marketable securities was approximately $9,000 which consisted of $30,000 of gross losses net of $21,000 of gross gains. For the nine months ended September 30, 2020, net realized loss from sales of marketable securities was approximately $80,000 and consisted of $138,000 of gross losses net of $58,000 of gross gains. For the three months ended September 30, 2019, net realized gain from sales of marketable securities was approximately $17,000 which consisted of $19,000 of gross gains and $2,000 of gross losses. For the nine months ended September 30, 2019, net realized gain from sales of marketable securities was approximately $6,000 and consisted of approximately $66,000 of gross gains net of $60,000 of gross losses. Investment gains and losses on marketable securities may fluctuate significantly from period to period in the future and could have a significant impact on the Company's net earnings. However, the amount of investment gains or losses on marketable securities for any given period has no predictive value and variations in amount from period to period have no practical analytical value. |
OTHER INVESTMENTS
OTHER INVESTMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Investments, All Other Investments [Abstract] | |
Investments and Other Noncurrent Assets | 7. OTHER INVESTMENTS As of September 30, 2020, the Company’s portfolio of other investments had an aggregate carrying value of approximately $4.94 million and we have committed to fund approximately $668,000 as required by agreements with the investees. The carrying value of these investments is equal to contributions less distributions and loss valuation adjustments, if any. During the nine months ended September 30, 2020, we made cash contributions to other investments of approximately $227,000. This consisted of $100,000 as an addition to our existing investment in a private lending fund and approximately $127,000 in follow on commitments of existing investments. During the nine months ended September 30, 2020, we received cash distributions from other investments of approximately $598,000. This primarily consisted of distributions from three existing investments. In July and August 2020, we received approximately $131,000 from an investment in a collateralized mortgage entity which made a return of capital distribution of $100,000 plus a $31,000 profit distribution from the satisfaction of one residential mortgage. In April 2020, one investee in a technology related venture fund completed the sale of its investment in a leading multinational developer and provider of sustainable water and we received $126,000. In January 2020, a real estate and related investee sold its remaining rental apartment building located in Atlanta, Georgia and we received $121,000. In August 2020, one of our other investments in a real estate partnership with a carrying value of $221,000 filed an initial public offering and began trading on the NYSE on August 13, 2020. We have reclassified that investment to marketable securities, and as of September 30, 2020 has an unrealized loss of approximately $65,000. As previously reported, in the first quarter of 2019 the Company’s $300,000 investments in a private insurance company publicly registered all shares and began trading on the NASDAQ on March 29, 2019. This investment is included in marketable securities, and as of June 30, 2020, had an unrealized loss of approximately $128,000. Net income from other investments for the three and nine months ended September 30, 2020 and 2019, is approximately as follows: Three months ended Nine months ended Description 2020 2019 2020 2019 Partnerships owning real estate and related $ 71,000 $ 409,000 $ 235,000 $ 536,000 Partnerships owning diversified businesses - 61,000 8,000 97,000 Technology and related investments - - 14,000 - Income from investment in 49% owned affiliate (T.G.I.F. Texas, Inc. “TGIF”) (3,000 ) 9,000 (17,000 ) 21,000 Total net income from other investments $ 68,000 $ 479,000 $ 240,000 $ 654,000 The following tables present approximate gross unrealized losses and fair values for those investments that were in an unrealized loss position as of September 30, 2020 and December 31, 2019, aggregated by investment category and the length of time that investments have been in a continuous loss position: As of September 30, 2020 12 Months or Less Greater than 12 Months Total Investment Description Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized Partnerships owning investments in technology related industries $ - $ - $ - $ - $ - $ - Partnerships owning investments in diversified businesses 781,000 (147,000 ) - - 781,000 (147,000 ) Total $ 781,000 $ (147,000 ) $ - $ - $ 781,000 $ (147,000 ) As of December 31, 2019 12 Months or Less Greater than 12 Months Total Investment Description Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized Partnerships owning investments in technology related industries $ 169,000 $ (52,000 ) $ - $ - $ 169,000 $ (52,000 ) Partnerships owning investments in diversified businesses 363,000 (57,000 ) 188,000 (45,000 ) 551,000 (102,000 ) Total $ 532,000 (109,000 ) 188,000 $ (45,000 ) $ 720,000 $ (154,000 ) When evaluating the investments for other-than-temporary impairment, the Company reviews factors such as the length of time and extent to which fair value has been below cost basis, the financial condition of the issuer and any changes thereto, and the Company’s intent to sell, or whether it is more likely than not it will be required to sell, the investment before recovery of the investment’s amortized cost basis. For the nine months ended September 30, 2020, in accordance with ASC Topic 320-10-65, Recognition and Presentation of Other-Than-Temporary Impairments (“OTTI”), we have recognized a total of $315,000 in impairment valuation adjustments. In the second quarter of 2020, we recorded two OTTI adjustments. One for $90,000 which was an additional write down relating to the investment in a small business investment company licensed by the Small Business Administration in which we invested $300,000 in 2007. Distributions to date from this investment total $68,000. We wrote this investment down by $50,000 in the first quarter of 2020. The carrying value of this investment is $92,000 after the OTTI adjustments. The other OTTI adjustment in the second quarter of 2020 was for $175,000 for an investment in a $2 billion global fund which invests in oil exploration and production which we committed $500,000 in September 2015. To date we have funded substantially our commitment and have received $205,000 in distributions from this investment. The write down was based on net asset value reported by the sponsor and takes into consideration the current disruptions in the oil markets because of the economic fall out of the pandemic. The adjusted value in this investment as of September 30, 2020 is $162,000. There were no OTTI valuation adjustments for the three months ended September 30, 2020 and for the nine months ended September 30, 2019. |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 8. FAIR VALUE OF FINANCIAL INSTRUMENTS In accordance with ASC Topic 820, the Company measures cash and cash equivalents and marketable debt and equity securities at fair value on a recurring basis. Other investments are measured at fair value on a nonrecurring basis. The following are the major categories of assets and liabilities measured at fair value on a recurring basis as of September 30, 2020 and December 31, 2019, using quoted prices in active markets for identical assets (Level 1) and significant other observable inputs (Level 2). For the periods presented, there were no major assets measured at fair value on a recurring basis where significant unobservable inputs were used (Level 3): Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair value measurement at reporting date using Description Total Quoted Prices in Active Significant Other Significant Assets: Cash equivalents: Money market mutual funds $ 1,441,000 $ 1,441,000 $ - $ - US T-Bills 5,600,000 5,600,000 - - Marketable securities: Corporate debt securities 666,000 - 666,000 - Marketable equity securities 2,610,000 2,610,000 - - Total assets $ 10,317,000 $ 9,651,000 $ 666,000 $ - Fair value measurement at reporting date using Description Total Quoted Prices in Active Significant Other Significant Assets: Cash equivalents: Money market mutual funds $ 606,000 $ 606,000 $ - $ - US T-Bills 14,130,000 14,130,000 - - Marketable securities: Corporate debt securities 474,000 - 474,000 - Marketable equity securities 2,999,000 2,999,000 - - Total assets $ 18,209,000 $ 17,735,000 $ 474,000 $ - Carrying amount is the estimated fair value for corporate debt securities and time deposits based on a market-based approach using observable (Level 2) inputs such as prices of similar assets in active markets. |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure | 9. INCOME TAXES The Company as a qualifying real estate investment trust (“REIT”) distributes its taxable ordinary income to stockholders in conformity with requirements of the Internal Revenue Code and is not required to report deferred items due to its ability to distribute all taxable income. In addition, net operating losses can be carried forward to reduce future taxable income but cannot be carried back. The Company’s 95%-owned taxable REIT subsidiary, CII, files a separate income tax return and its operations are not included in the REIT’s income tax return. Distributed capital gains on sales of real estate as they relate to REIT activities are not subject to taxes; however, undistributed capital gains may be subject to corporate tax. On December 13, 2019, the Company declared a dividend of $0.50 per share which was payable on January 13, 2020 to all shareholders of record as of December 30, 2019. Our previously issued 2019 Form 1099-DIV was based on estimated information (from Form K-1’s) for income from our various investments and we projected positive current Earnings and Profit (E&P) for 2019. However, upon receipt of the actual 2019 K-1 information in 2020 the REIT reported negative current E&P. Thus, the 2019 distribution made to shareholders is now considered 100% return of capital and not taxable. The 2019 Form 1099-DIV was amended in October 2020. The Company accounts for income taxes in accordance with ASC Topic 740, “Accounting for Income Taxes.” ASC Topic 740 requires a Company to use the asset and liability method of accounting for income taxes. Under this method, deferred income taxes are recognized for the tax consequences of “temporary differences” by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. The effect on deferred income taxes of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred taxes only pertain to CII. As of September 30, 2020, and December 31, 2019, the Company has recorded a net deferred tax liability of $50,000 and $77,000, respectively, primarily as a result of timing differences associated with the carrying value of the investment in affiliate (TGIF), other investments and investments in marketable securities. CII’s NOL carryover to 2020 is estimated at $1.07 million and has been fully reserved due to CII historically having tax losses. The benefit from (provision for) income taxes in the consolidated statements of income consists of the following: Nine months ended September 30, 2020 2019 Current: Federal $ - $ - State 2,000 - 2,000 - Deferred: Federal $ 49,000 $ (13,000 ) State 4,000 (2,000 ) 53,000 (15,000 ) Total benefit (provision) before allowance 55,000 (15,000 ) Increased valuation allowance (24,000 ) - Total $ 29,000 $ (15,000 ) The Company follows the provisions of ASC Topic 740-10, “Accounting for Uncertainty in Income Taxes” which clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements in accordance with ASC Topic 740 and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. This topic also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. Based on our evaluation, we have concluded that there are no significant uncertain tax positions requiring recognition in our consolidated financial statements. Our evaluation was performed for the tax years ended December 31, 2019. The Company’s federal income tax returns since 2016 are subject to examination by the Internal Revenue Service, generally for a period of three years after the returns were filed. We may from time to time be assessed interest or penalties by major tax jurisdictions, although any such assessments historically have been minimal and immaterial to our financial results. In the event we have received an assessment for interest and/or penalties, it has been classified in the condensed consolidated financial statements as general and administrative expense. |
STOCK OPTIONS
STOCK OPTIONS | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments | 10. STOCK OPTIONS During the nine months ended September 30, 2020, there were no options granted, expired, or forfeited. On July 25, 2019, the Company granted options to purchase 8,000 shares of the Company’s common stock to three directors and one officer. The exercise price of the options is equal to $13.20 per share, the market price of the stock on the date of grant and the options expires on June 29, 2021. The Company determined the fair value of its option awards using the Black-Scholes option pricing model. The following assumptions were used to value the options granted during the nine months ended September 30, 2019: 2 year expected life; expected volatility of approximately 19.5%; risk-free of 1.93% and annual dividend yield of 4%. The expected life for options granted during the period represents the period of time that options are to be outstanding based on the expiration date of the Plan. Expected volatilities are based upon historical volatility of the Company’s stock over a period equal to the 2-year expected life. The weighted average fair value for options granted during the nine months ended September 30, 2019 was $1.11 per share. For the nine months ended September 30, 2019 the Company recorded approximately $9,000 in stock expense compensation relating to the options granted in 2019. The following table summarizes stock option activity during the nine months ended September 30, 2019: Weighted Average Options Exercise Outstanding Price Outstanding at January 1, 2019 1,600 $ 15.30 Exercised - - Forfeited - - Expired unexercised - - Granted options 8,000 13.20 Outstanding at September 30, 2019 9,600 $ 13.55 The following table summarizes information concerning outstanding and exercisable options as of September 30, 2020: Number of Weighted-average Number of securities remaining Equity compensation plan approved by shareholders 9,600 $ 13.55 36,608 Equity compensation plan not approved by shareholders — — — Total 9,600 $ 13.55 36,608 As of September 30, 2020, the stock options outstanding and exercisable had no intrinsic value. |
INVESTMENTS IN MARKETABLE SEC_2
INVESTMENTS IN MARKETABLE SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Gain (Loss) on Securities | Net realized and unrealized gain (loss) from investments in marketable securities for the three and nine months ended September 30, 2020 and 2019 is summarized below: Three months ended Nine months ended Description 2020 2019 2020 2019 Net realized (loss) gain from sales of securities $ (9,000 ) $ 17,000 $ (80,000 ) $ 6,000 Unrealized net gain (loss) in trading securities 128,000 (5,000 ) (186,000 ) 247,000 Total net gain (loss) from investments in marketable securities $ 119,000 $ 12,000 $ (266,000 ) $ 253,000 |
OTHER INVESTMENTS (Tables)
OTHER INVESTMENTS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Investments, All Other Investments [Abstract] | |
Investment Holdings, Schedule of Investments | Net income from other investments for the three and nine months ended September 30, 2020 and 2019, is approximately as follows: Three months ended Nine months ended Description 2020 2019 2020 2019 Partnerships owning real estate and related $ 71,000 $ 409,000 $ 235,000 $ 536,000 Partnerships owning diversified businesses - 61,000 8,000 97,000 Technology and related investments - - 14,000 - Income from investment in 49% owned affiliate (T.G.I.F. Texas, Inc. “TGIF”) (3,000 ) 9,000 (17,000 ) 21,000 Total net income from other investments $ 68,000 $ 479,000 $ 240,000 $ 654,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | The following tables present approximate gross unrealized losses and fair values for those investments that were in an unrealized loss position as of September 30, 2020 and December 31, 2019, aggregated by investment category and the length of time that investments have been in a continuous loss position: As of September 30, 2020 12 Months or Less Greater than 12 Months Total Investment Description Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized Partnerships owning investments in technology related industries $ - $ - $ - $ - $ - $ - Partnerships owning investments in diversified businesses 781,000 (147,000 ) - - 781,000 (147,000 ) Total $ 781,000 $ (147,000 ) $ - $ - $ 781,000 $ (147,000 ) As of December 31, 2019 12 Months or Less Greater than 12 Months Total Investment Description Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized Partnerships owning investments in technology related industries $ 169,000 $ (52,000 ) $ - $ - $ 169,000 $ (52,000 ) Partnerships owning investments in diversified businesses 363,000 (57,000 ) 188,000 (45,000 ) 551,000 (102,000 ) Total $ 532,000 (109,000 ) 188,000 $ (45,000 ) $ 720,000 $ (154,000 ) |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value, by Balance Sheet Grouping | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair value measurement at reporting date using Description Total Quoted Prices in Active Significant Other Significant Assets: Cash equivalents: Money market mutual funds $ 1,441,000 $ 1,441,000 $ - $ - US T-Bills 5,600,000 5,600,000 - - Marketable securities: Corporate debt securities 666,000 - 666,000 - Marketable equity securities 2,610,000 2,610,000 - - Total assets $ 10,317,000 $ 9,651,000 $ 666,000 $ - Fair value measurement at reporting date using Description Total Quoted Prices in Active Significant Other Significant Assets: Cash equivalents: Money market mutual funds $ 606,000 $ 606,000 $ - $ - US T-Bills 14,130,000 14,130,000 - - Marketable securities: Corporate debt securities 474,000 - 474,000 - Marketable equity securities 2,999,000 2,999,000 - - Total assets $ 18,209,000 $ 17,735,000 $ 474,000 $ - |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The benefit from (provision for) income taxes in the consolidated statements of income consists of the following: Nine months ended September 30, 2020 2019 Current: Federal $ - $ - State 2,000 - 2,000 - Deferred: Federal $ 49,000 $ (13,000 ) State 4,000 (2,000 ) 53,000 (15,000 ) Total benefit (provision) before allowance 55,000 (15,000 ) Increased valuation allowance (24,000 ) - Total $ 29,000 $ (15,000 ) |
STOCK OPTIONS (Tables)
STOCK OPTIONS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based Payment Arrangement, Option, Activity | The following table summarizes stock option activity during the nine months ended September 30, 2019: Weighted Average Options Exercise Outstanding Price Outstanding at January 1, 2019 1,600 $ 15.30 Exercised - - Forfeited - - Expired unexercised - - Granted options 8,000 13.20 Outstanding at September 30, 2019 9,600 $ 13.55 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range | The following table summarizes information concerning outstanding and exercisable options as of September 30, 2020: Number of Weighted-average Number of securities remaining Equity compensation plan approved by shareholders 9,600 $ 13.55 36,608 Equity compensation plan not approved by shareholders — — — Total 9,600 $ 13.55 36,608 |
INVESTMENT IN RESIDENTIAL REA_2
INVESTMENT IN RESIDENTIAL REAL ESTATE PARTNERSHIP (FORT MYERS, FL) (Details Textual) $ in Thousands | Jul. 19, 2019USD ($)aft²units | Sep. 30, 2020USD ($) |
Number of Units in Real Estate Property | units | 318 | |
Construction loans received | $ 24,890 | |
PNC Bank National Association [Member] | ||
Equity Method Investment, Underlying Equity in Net Assets | $ 14,490 | |
Debt Instrument, Face Amount | 41,590 | |
Murano At Three Oaks Associates LLC [Member] | ||
Equity Method Investment, Underlying Equity in Net Assets | $ 3,620 | |
Equity Method Investment, Ownership Percentage | 25.00% | |
Fort Myers Florida [Member] | ||
Guarantor Obligations Financial Compliance Covenants | Each Guarantor is required to maintain compliance with the following financial covenants, as defined: (1) liquidity shall not be less than $2.5 million. Liquidity is defined as the sum of unencumbered, unrestricted cash and cash equivalents and marketable securities, and (2) net worth shall not be less than $10 million. | |
Development Costs, Period Cost | $ 56,080 | |
Area Of Land Available For Renting | ft² | 312,000 | |
Area of Land | a | 17.5 | |
Fort Myers Florida [Member] | Financial Guarantee [Member] | Reduction Of Rate One [Member] | ||
Guarantor Obligation Percentage Loans Payable | 30.00% | |
Fort Myers Florida [Member] | Financial Guarantee [Member] | Reduction Of Rate Two [Member] | ||
Guarantor Obligation Percentage Loans Payable | 15.00% | |
Fort Myers Florida [Member] | Financial Guarantee [Member] | Reduction Of Rate Three [Member] | ||
Guarantor Obligation Percentage Loans Payable | 0.00% | |
Fort Myers Florida [Member] | Construction Contracts [Member] | ||
Guarantor Obligations, Term | HMG and the other members (or affiliates thereof) of the Borrower ("Guarantors") entered into a Completion Guaranty ("Completion Guaranty") and a Guaranty and Suretyship Agreement ("Repayment Guaranty") (collectively, the “Guaranties”). Under the Completion Guaranty, each Guarantor shall unconditionally guaranty, as a primary obligor, and become surety for the prompt payment and performance by Borrower of the “Guaranteed Obligations” (as defined). Under the Repayment Guaranty, Guarantor unconditionally guarantees, as a primary obligor, and becomes surety for the prompt payment and performance of, as defined (i) all Interest Obligations, (ii) all Loan Document Obligations, (iii) all Expense Obligations, (iv) the Carrying Cost Obligations, (v) the Principal Amount, (vi) interest on each of the foregoing including, if applicable, interest at the Default Rate (as defined). At all times prior to the First Reduction Date (as defined below), the Guarantors are collectively responsible for 30% of the Principal Obligations, (ii) at all times after the First Reduction Date, the Guarantors are collectively responsible for 15% of the Principal Obligations, and (iii) at all times after the Second Reduction Date, 0% of the Principal Obligations. First Reduction Conditions" means satisfaction of the following conditions: (i) no Event of Default has occurred and is continuing; (ii) Completion of Construction has occurred; and (iii) the Project has achieved a DSCR of not less than 1.25 to 1.00 for two (2) consecutive fiscal quarters. | |
Fort Myers Florida [Member] | Construction Contracts [Member] | Minimum [Member] | ||
Liquidity amount | $ 2,500 | |
Net worth | $ 10,000 |
MONTPELIER, VERMONT PROPERTY (D
MONTPELIER, VERMONT PROPERTY (Details Textual) | Nov. 06, 2020USD ($) | Aug. 30, 2020USD ($) | Aug. 31, 2020USD ($)aft² | Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) |
Montpelier Vermont Property [Line Items] | ||||||
Real estate investment fixed fee | $ 500,000 | |||||
Real estate investment fixed fee owed and payable | $ 125,000 | $ 0 | $ 6,187 | |||
Amended And Restated Predevelopment Agreement [Member] | Montpelier Vermont Property [Member] | ||||||
Montpelier Vermont Property [Line Items] | ||||||
Equity Method Investment, Ownership Percentage | 28.00% | |||||
Amended And Restated Predevelopment Agreement [Member] | Montpelier Vermont Property [Member] | Local Developer [Member] | ||||||
Montpelier Vermont Property [Line Items] | ||||||
Percentage of property available for sale | 50.00% | |||||
Amended And Restated Predevelopment Agreement [Member] | Montpelier Vermont Property [Member] | Real Consultant [Member] | ||||||
Montpelier Vermont Property [Line Items] | ||||||
Percentage of property available for sale | 10.00% | |||||
Leases Agreement [Member] | Montpelier Vermont Property [Member] | ||||||
Montpelier Vermont Property [Line Items] | ||||||
Estimated costs of renovation and construction | $ 2,500,000 | |||||
Average annual rent | $ 229,000 | |||||
Average annual rent payable years | 10 years | |||||
Leases term description | The term of the lease will commence on the earlier of: (a) 30 days after the date the project is substantially completed (as defined); or (b) the date that the tenant opens for business (the “Commencement Date”) and shall continue until the 10th anniversary of the Commencement Date. The lease provides the tenant the option to renew or extend the lease for two consecutive renewal terms of five years each. | |||||
Leases term extension description | two consecutive renewal terms of five years each. | |||||
Leases Agreement [Member] | Montpelier Vermont Property [Member] | Subsequent Event [Member] | ||||||
Montpelier Vermont Property [Line Items] | ||||||
Total construction costs | $ 1,360,000 | |||||
Real estate percentage of completion | 54.00% | |||||
Real estate construction costs to be recorded percentage | 28.00% | |||||
Total construction costs to be recorded and paid | $ 381,000 | |||||
Leases Agreement [Member] | Land Improvements [Member] | Montpelier Vermont Property [Member] | ||||||
Montpelier Vermont Property [Line Items] | ||||||
Area of Land | a | 3.5 | |||||
Leases Agreement [Member] | Building Improvements [Member] | Montpelier Vermont Property [Member] | ||||||
Montpelier Vermont Property [Line Items] | ||||||
Area of Land | ft² | 8,000 |
INVESTMENTS IN MARKETABLE SEC_3
INVESTMENTS IN MARKETABLE SECURITIES (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Marketable Securities, Gain (Loss) [Abstract] | ||||
Net realized (loss) gain from sales of securities | $ (9,000) | $ 17,000 | $ (80,000) | $ 6,000 |
Unrealized net gain (loss) in trading securities | 128,000 | (5,000) | (186,000) | 247,000 |
Total net gain (loss) from investments in marketable securities | $ 119,306 | $ 12,190 | $ (266,200) | $ 252,747 |
INVESTMENTS IN MARKETABLE SEC_4
INVESTMENTS IN MARKETABLE SECURITIES (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Marketable Securities [Line Items] | |||||
Marketable Securities Gain | $ 21,000 | $ 19,000 | $ 58,000 | $ 60,000 | |
Marketable Securities Loss | 30,000 | 2,000 | 138,000 | 66,000 | |
Marketable Securities | 3,275,757 | 3,275,757 | $ 3,473,521 | ||
Net realized gain (loss) from sales of securities | (9,000) | $ 17,000 | (80,000) | $ 6,000 | |
Real Estate Investment Trusts [Member] | |||||
Marketable Securities [Line Items] | |||||
Marketable Securities | $ 1,610,000 | $ 1,610,000 | $ 1,860,000 |
OTHER INVESTMENTS (Details)
OTHER INVESTMENTS (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Schedule of Investments [Line Items] | ||||
Partnerships owning real estate and related | $ 71,000 | $ 409,000 | $ 235,000 | $ 536,000 |
Partnerships owning diversified businesses | 0 | 61,000 | 8,000 | 97,000 |
Technology and related investments | 0 | 0 | 14,000 | 0 |
Income from investment in 49% owned affiliate (T.G.I.F. Texas, Inc. "TGIF") | (3,000) | 9,000 | (17,000) | 21,000 |
Total net income from other investments | $ 68,000 | $ 479,000 | $ 240,000 | $ 654,000 |
OTHER INVESTMENTS (Details 1)
OTHER INVESTMENTS (Details 1) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | $ 781,000 | $ 532,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 188,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 781,000 | 720,000 |
Unrealized | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | (147,000) | (109,000) |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | 0 | (45,000) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | (147,000) | (154,000) |
Partnerships Owning Investments In Technology Related Industries [Member] | ||
Fair Value | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 0 | 169,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 0 | 169,000 |
Unrealized | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | 0 | (52,000) |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | 0 | 0 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | 0 | (52,000) |
Partnerships Owning Investments in Diversified Businesses [Member] | ||
Fair Value | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value | 781,000 | 363,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value | 0 | 188,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value, Total | 781,000 | 551,000 |
Unrealized | ||
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Aggregate Loss | (147,000) | (57,000) |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Aggregate Loss | 0 | (45,000) |
Available-for-sale Securities, Continuous Unrealized Loss Position, Aggregate Loss | $ (147,000) | $ (102,000) |
OTHER INVESTMENTS (Details Text
OTHER INVESTMENTS (Details Textual) | 1 Months Ended | 2 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||
Apr. 30, 2020USD ($) | Jan. 31, 2020USD ($) | Aug. 31, 2020USD ($) | Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Sep. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Sep. 30, 2020USD ($)Investments | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2015USD ($) | |
Other Investment [Line Items] | |||||||||||||
Other Investments | $ 4,936,570 | $ 4,936,570 | $ 5,585,666 | ||||||||||
Company committed to fund approximately as required by agreements with the investees | 668,000 | 668,000 | |||||||||||
Proceeds from Sale and Maturity of Other Investments | $ 126,000 | 597,668 | $ 1,435,879 | ||||||||||
Payments to Acquire Other Investments | 227,268 | 919,613 | |||||||||||
Impairment of Other Investments | 0 | $ 0 | $ 315,000 | $ 0 | |||||||||
Number of Other Investments from which Cash Distributions was Received | Investments | 3 | ||||||||||||
Small Business Administration [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Other Investments | $ 300,000 | ||||||||||||
Impairment of Other Investments | $ 90,000 | $ 50,000 | $ 315,000 | ||||||||||
Income from Other Investments | 68,000 | ||||||||||||
Investments After Other Than Temporary Impairment Adjustments | 92,000 | ||||||||||||
Global Fund Investment Relating To Oil Exploration And Production [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Other Investments | 2,000,000,000 | ||||||||||||
Company committed to fund approximately as required by agreements with the investees | $ 500,000 | ||||||||||||
Impairment of Other Investments | 175,000 | ||||||||||||
Income from Other Investments | 205,000 | ||||||||||||
Investments After Other Than Temporary Impairment Adjustments | 162,000 | ||||||||||||
Collateralized Mortgage Entity [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Proceeds from Sale and Maturity of Other Investments | $ 131,000 | ||||||||||||
Return of capital distribution | 100,000 | ||||||||||||
Profit distribution from the satisfaction | 31,000 | ||||||||||||
Freely Marketable [Member] | Investment In Insurance Company [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Transfer of investments to marketable securitites | $ 300,000 | ||||||||||||
Maketable securitites unrealised loss position | $ 227,000 | $ 128,000 | $ 227,000 | ||||||||||
Atlanta [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Gain (Loss) on Sale of Other Investments | $ 121,000 | ||||||||||||
TGIF Texas Inc [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Equity Method Investment, Ownership Percentage | 49.00% | 49.00% | |||||||||||
Existing investments [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Payments to Acquire Other Investments | $ 127,000 | ||||||||||||
Real Estate Partnership [Member] | |||||||||||||
Other Investment [Line Items] | |||||||||||||
Other Investments | $ 221,000 | ||||||||||||
Payments to Acquire Other Investments | 100,000 | ||||||||||||
Maketable securitites unrealised loss position | $ 65,000 | $ 65,000 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | $ 10,317,000 | $ 18,209,000 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 9,651,000 | 17,735,000 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 666,000 | 474,000 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Money Market Mutual Funds [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 1,441,000 | 606,000 |
Money Market Mutual Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 1,441,000 | 606,000 |
Money Market Mutual Funds [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Money Market Mutual Funds [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
US T-Bills [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 5,600,000 | 14,130,000 |
US T-Bills [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 5,600,000 | 14,130,000 |
US T-Bills [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
US T-Bills [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Corporate Debt Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 666,000 | 474,000 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 666,000 | 474,000 |
Corporate Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Marketable Equity Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 2,610,000 | 2,999,000 |
Marketable Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 2,610,000 | 2,999,000 |
Marketable Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 |
Marketable Equity Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Cash and Cash Equivalents, Fair Value Disclosure | $ 0 | $ 0 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Current: | ||||
Federal | $ 0 | $ 0 | ||
State | 2,000 | 0 | ||
Total | 2,000 | 0 | ||
Deferred: | ||||
Federal | 49,000 | (13,000) | ||
State | 4,000 | (2,000) | ||
Total | 53,000 | (15,000) | ||
Total benefit (provision) before allowance | 55,000 | (15,000) | ||
Increased valuation allowance | (24,000) | 0 | ||
Total | $ 76,196 | $ 12,010 | $ (29,158) | $ 14,954 |
INCOME TAXES (Details Textual)
INCOME TAXES (Details Textual) - USD ($) | Dec. 13, 2019 | Sep. 30, 2020 | Dec. 31, 2019 |
Income Tax Disclosure [Line Items] | |||
Dividend payable declaration date | Dec. 13, 2019 | ||
Common Stock, Dividends, Per Share, Cash Paid | $ 0.50 | ||
Dividend payable date to be paid | Jan. 13, 2020 | ||
Dividend payable date of record | Dec. 30, 2019 | ||
Dividend return of capital component percentage | 100.00% | ||
Deferred Income Tax Liabilities, Net | $ 50,425 | $ 77,485 | |
Cii [Member] | |||
Income Tax Disclosure [Line Items] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 95.00% | ||
Cii [Member] | Change in Accounting Method Accounted for as Change in Estimate [Member] | |||
Income Tax Disclosure [Line Items] | |||
Operating Loss Carryforwards | $ 1,070,000 |
STOCK OPTIONS (Details)
STOCK OPTIONS (Details) | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Options Outstanding | |
Outstanding at Beginning | shares | 1,600 |
Exercised | shares | 0 |
Forfeited | shares | 0 |
Expired unexercised | shares | 0 |
Granted options | shares | 8,000 |
Outstanding at the end of the period | shares | 9,600 |
Weighted Average Exercise Price | |
Outstanding at Beginning | $ / shares | $ 15.30 |
Exercised | $ / shares | 0 |
Forfeited | $ / shares | 0 |
Expired unexercised | $ / shares | 0 |
Granted options | $ / shares | 13.20 |
Options exercisable at period-end | $ / shares | $ 13.55 |
STOCK OPTIONS (Details 1)
STOCK OPTIONS (Details 1) - $ / shares | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2018 |
Number of securities to be issued upon exercise of outstanding options | 9,600 | 9,600 | 1,600 |
Weighted-average exercise price of outstanding options | $ 13.55 | $ 15.30 | |
Number of securities remaining available for future issuance under equity compensation plans | 36,608 | ||
Equity compensation plan approved by shareholders [Member] | |||
Number of securities to be issued upon exercise of outstanding options | 9,600 | ||
Weighted-average exercise price of outstanding options | $ 13.55 | ||
Number of securities remaining available for future issuance under equity compensation plans | 36,608 | ||
Equity compensation plan not approved by shareholders [Member] | |||
Number of securities to be issued upon exercise of outstanding options | 0 | ||
Weighted-average exercise price of outstanding options | $ 0 | ||
Number of securities remaining available for future issuance under equity compensation plans | 0 |
STOCK OPTIONS (Details Textual)
STOCK OPTIONS (Details Textual) | 9 Months Ended |
Sep. 30, 2019USD ($)$ / sharesshares | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 13.20 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | shares | 8,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | Jun. 29, 2021 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 2 years |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 19.50% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.93% |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 4.00% |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 1.11 |
Allocated Share-based Compensation Expense | $ | $ 9,000 |