Cover
Cover - USD ($) | 12 Months Ended | |||
Jan. 31, 2022 | Jan. 31, 2021 | May 27, 2022 | Jul. 31, 2021 | |
Cover [Abstract] | ||||
Document Type | 10-K | |||
Amendment Flag | false | |||
Document Annual Report | true | |||
Document Transition Report | false | |||
Document Period End Date | Jan. 31, 2022 | |||
Document Fiscal Period Focus | FY | |||
Document Fiscal Year Focus | 2022 | |||
Current Fiscal Year End Date | --01-31 | |||
Entity File Number | 1-7062 | |||
Entity Registrant Name | INNSUITES HOSPITALITY TRUST | |||
Entity Central Index Key | 0000082473 | |||
Entity Tax Identification Number | 34-6647590 | |||
Entity Incorporation, State or Country Code | OH | |||
Entity Address, Address Line One | InnSuites Hotels Centre | |||
Entity Address, Address Line Two | 1730 E. Northern Avenue | |||
Entity Address, Address Line Three | Suite 122 | |||
Entity Address, City or Town | Phoenix | |||
Entity Address, State or Province | AZ | |||
Entity Address, Postal Zip Code | 85020 | |||
City Area Code | (602) | |||
Local Phone Number | 944-1500 | |||
Title of 12(b) Security | Shares of beneficial interest without par value | |||
Trading Symbol | IHT | |||
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 | false | |||
Entity Shell Company | false | |||
Entity Public Float | $ 17,006,992 | |||
Entity Common Stock, Shares Outstanding | 9,079,513 | |||
Documents Incorporated by Reference [Text Block] | None. | |||
Auditor Firm ID | 5041 | 324 | ||
Auditor Name | BF Borgers CPA PC | Macias, Gini, and O’Connell LLP (324) | ||
Auditor Location | Lakewood, CO | Irvine, California |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Current Assets: | ||
Cash | $ 1,224,380 | $ 1,702,755 |
Accounts Receivable | 128,270 | 60,557 |
Income Tax Receivable | 68,661 | |
Employee Retention Credit Receivable | 350,791 | |
Current Portion of Note Receivable (net) | 91,667 | |
Prepaid Expenses and Other Current Assets | 117,868 | 168,892 |
Total Current Assets | 1,821,309 | 2,092,532 |
Property and Equipment, net | 7,579,313 | 8,189,850 |
Note Receivable (net) | 1,925,000 | 1,833,333 |
Operating Lease – Right of Use | 2,054,377 | 2,141,084 |
Finance Lease – Right of Use | 48,560 | 76,309 |
Convertible Note Receivable | 1,000,000 | 1,000,000 |
Investment in Private Company Stock | 273,750 | 60,000 |
TOTAL ASSETS | 14,702,309 | 15,393,108 |
Current Liabilities: | ||
Accounts Payable and Accrued Expenses | 901,369 | 1,853,602 |
Current Portion of Mortgage Notes Payable, net of Discount | 174,956 | 168,799 |
Current Portion of Other Notes Payable | 20,170 | 47,216 |
Current Portion of Operating Lease Liability | 37,467 | 58,536 |
Current Portion of Finance Lease Liability | 29,240 | 27,858 |
Total Current Liabilities | 1,163,202 | 2,156,011 |
Notes Payable - Related Party | 977,547 | 1,595,000 |
Mortgage Notes Payable, net of Discount | 5,582,346 | 5,768,785 |
Other Notes Payable | 551,017 | 1,000,877 |
Operating Lease Liability, net of current portion | 2,273,278 | 2,310,745 |
Finance Lease Liability, net of current portion | 22,878 | 52,118 |
TOTAL LIABILITIES | 10,570,268 | 12,883,536 |
COMMITMENTS AND CONTINGENCIES | ||
SHAREHOLDERS’ EQUITY | ||
Shares of Beneficial Interest, without par value, unlimited authorization; 9,079,513 and 18,626,215 shares issued and 9,079,513 and 9,057,730 shares outstanding at January 31, 2022 and January 31, 2021, respectively | 6,599,069 | 20,027,402 |
Treasury Stock, 44,076 and 9,568,485 shares held at cost at January 31, 2022 and January 31, 2021, respectively | (130,464) | (13,936,972) |
TOTAL TRUST SHAREHOLDERS’ EQUITY | 6,468,605 | 6,090,430 |
NON-CONTROLLING INTEREST | (2,336,564) | (3,580,858) |
TOTAL EQUITY | 4,132,041 | 2,509,572 |
TOTAL LIABILITIES AND EQUITY | $ 14,702,309 | $ 15,393,108 |
Consolidated Balance Sheets (P
Consolidated Balance Sheets (Parenthetical) - $ / shares | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Statement of Financial Position [Abstract] | ||
Common Stock, No Par Value | ||
Common Stock, Shares Authorized, Unlimited | Unlimited | Unlimited |
Common Stock, Shares Issued | 9,079,513 | 18,626,215 |
Common Stock, Shares Outstanding | 9,079,513 | 9,057,730 |
Treasury Stock, Shares | 44,076 | 9,568,485 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
REVENUE | ||
TOTAL REVENUE | $ 6,409,800 | $ 4,202,574 |
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 6,713,135 | 7,014,719 |
OPERATING LOSS | (303,335) | (2,812,145) |
Other Income | 33,627 | 146,325 |
Interest Income | 60,696 | 129,995 |
PPP Loan Forgiveness | 967,141 | |
TOTAL OTHER INCOME | 1,061,464 | 276,320 |
Interest on Mortgage Notes Payable | 288,844 | 287,089 |
Interest on Notes Payable to Banks | 103 | |
Interest on Notes Payable Related Party | 71,512 | |
Interest on Other Notes Payable | 6,879 | 73,484 |
TOTAL INTEREST EXPENSE | 367,235 | 360,676 |
CONSOLIDATED NET INCOME (LOSS) LOSS BEFORE EMPLOYEE RETENTION CREDIT, SALES AND OCCUPANCY TAXES AND INCOME TAX BENEFIT | 390,894 | (2,827,840) |
Employee Retention Credit | 350,791 | |
Sales and Occupancy Taxes | 798,000 | |
Income Tax Benefit | 50 | 68,661 |
CONSOLIDATED NET INCOME (LOSS) | 1,539,735 | (2,827,840) |
LESS: NET INCOME (LOSS) ATTRIBUTABLE TO NON-CONTROLLING INTEREST | 1,285,591 | (1,202,230) |
NET INCOME (LOSS) ATTRIBUTABLE TO CONTROLLING INTERESTS | $ 254,144 | $ (1,625,610) |
NET INCOME (LOSS) PER SHARE – BASIC & DILUTED | $ 0.03 | $ (0.31) |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING - BASIC & DILUTED | 9,108,672 | 9,158,361 |
Room [Member] | ||
REVENUE | ||
TOTAL REVENUE | $ 6,208,467 | $ 3,905,001 |
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 2,011,129 | 1,526,323 |
Food and Beverage [Member] | ||
REVENUE | ||
TOTAL REVENUE | 55,652 | 55,735 |
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 201,288 | 118,874 |
Management and Trademark Fees [Member] | ||
REVENUE | ||
TOTAL REVENUE | 21,026 | 115,745 |
Other [Member] | ||
REVENUE | ||
TOTAL REVENUE | 124,655 | 126,093 |
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 33,764 | 10,069 |
Telecommunications [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 250 | 2,000 |
General and Administrative [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 1,831,779 | 1,957,762 |
Sales and Marketing [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 399,543 | 379,759 |
Repairs and Maintenance [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 392,131 | 354,662 |
Hospitality [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 233,192 | 150,850 |
Utilities [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 383,098 | 357,221 |
Depreciation [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 725,380 | 830,916 |
Real Estate and Personal Property Taxes, Insurance and Ground Rent [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | 501,581 | 481,845 |
Sales And Occupancy [Member] | ||
OPERATING EXPENSES | ||
TOTAL OPERATING EXPENSES | $ 844,438 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) | Common Stock [Member] | Treasury Stock [Member] | Trust Shareholders' Equity [Member] | Noncontrolling Interest [Member] | Total |
Beginning balance, value at Jan. 31, 2020 | $ 21,837,048 | $ (13,689,533) | $ 8,147,515 | $ (2,229,705) | $ 5,917,810 |
Beginning balance, shares at Jan. 31, 2020 | 9,273,299 | 9,334,916 | |||
Net Income | $ (1,625,610) | (1,625,610) | (1,202,230) | (2,827,840) | |
Dividends | (191,848) | (191,848) | (191,848) | ||
Purchase of Treasury Stock | $ (247,439) | (247,439) | (247,439) | ||
Purchase of Treasury Stock, shares | (233,569) | 233,569 | |||
Shares of Beneficial Interest Issued for Services Rendered | $ 28,800 | 28,800 | 28,800 | ||
Shares of beneficial interest issued for services rendered, shares | 18,000 | ||||
Sales (Purchase) of Ownership Interests in Subsidiary, net | (20,000) | (20,000) | |||
Distribution to Non-Controlling Interests | (149,911) | (149,911) | |||
Reallocation of Non-Controlling Interests and Other | $ (20,988) | (20,988) | 20,988 | ||
Ending balance, value at Jan. 31, 2021 | $ 20,027,402 | $ (13,936,972) | 6,090,430 | (3,580,858) | 2,509,572 |
Ending balance, shares at Jan. 31, 2021 | 9,057,730 | 9,568,485 | |||
Net Income | $ 254,144 | 254,144 | 1,285,591 | 1,539,735 | |
Dividends | (186,492) | (186,492) | (186,492) | ||
Purchase of Treasury Stock | $ (130,464) | (130,464) | (130,464) | ||
Purchase of Treasury Stock, shares | (44,908) | 44,076 | |||
Shares of Beneficial Interest Issued for Services Rendered | $ 187,110 | 187,110 | 187,110 | ||
Shares of beneficial interest issued for services rendered, shares | 63,000 | ||||
Reallocation of Non-Controlling Interests and Other | $ 21,587 | 21,587 | (21,587) | ||
Transfer of Ownership Interest in Subsidiary, net | $ 19,710 | 19,710 | (19,710) | ||
Transfer of ownership interest in subsidiary, net, shares | 3,691 | ||||
Retirement of Treasury Shares | $ (13,936,972) | $ 13,936,972 | |||
Retirement of Treasury Shares | (9,568,485) | ||||
Dissolution of RHL | 212,580 | 212,580 | 212,580 | ||
Ending balance, value at Jan. 31, 2022 | $ 6,599,069 | $ (130,464) | $ 6,468,605 | $ (2,336,564) | $ 4,132,041 |
Ending balance, shares at Jan. 31, 2022 | 9,079,513 | 44,076 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Consolidated Net Income (Loss) | $ 1,539,735 | $ (2,827,840) |
Adjustments to Reconcile Consolidated Net Income (Loss) to Net Cash Provided By (Used In) By Operating Activities: | ||
PPP Loan Forgiveness | (967,141) | |
Employee Retention Credit | (350,791) | |
Stock-Based Compensation | 187,110 | 28,800 |
Depreciation | 725,380 | 830,916 |
Changes in Assets and Liabilities: | ||
Accounts Receivable | (67,713) | 524,669 |
Income Tax Receivable | 68,661 | 225,741 |
Prepaid Expenses and Other Assets | 51,024 | (91,086) |
Operating Lease | 28,171 | 3,817 |
Finance Lease | (109) | 28,954 |
Accounts Payable and Accrued Expenses | (950,870) | 468,631 |
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 263,457 | (807,398) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Improvements and Additions to Hotel Properties | (116,207) | (37,443) |
Issuance of Payments on Convertible Note Receivable - UniGen | (213,750) | (400,000) |
Lendings on Advances to Affiliates - Related Party | (62,000) | |
Payments made on exercise of Warrants for Private Company Stock | (60,000) | |
Collections on Advances to Affiliates - Related Party | 1,062,000 | |
Dissolution of RHL | 212,580 | |
NET CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES | (117,377) | 502,557 |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Principal Payments on Mortgage Notes Payable | (180,282) | (168,084) |
Payments on Notes Payable to Banks, net of financing costs | (17,100) | |
Borrowings on Note Payable - Related Party | 261,224 | 1,767,000 |
Payments on Notes Payable - Related Party | (878,676) | (333,440) |
Payments on Other Notes Payable | (60,619) | (356,450) |
Borrowings on Other Notes Payable | 550,854 | 524,340 |
Payment of Dividends | (186,492) | (191,848) |
Proceeds from Sale of Non-Controlling Ownership Interest in Subsidiary, net | (20,000) | |
Distributions to Non-Controlling Interest Holders | (149,911) | |
Repurchase of Treasury Stock | (130,464) | (247,439) |
NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES | (624,455) | 807,068 |
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | (478,375) | 502,227 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD | 1,702,755 | 1,200,528 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | $ 1,224,380 | $ 1,702,755 |
NATURE OF OPERATIONS AND BASIS
NATURE OF OPERATIONS AND BASIS OF PRESENTATION | 12 Months Ended |
Jan. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
NATURE OF OPERATIONS AND BASIS OF PRESENTATION | 1. NATURE OF OPERATIONS AND BASIS OF PRESENTATION As of January 31, 2022, InnSuites Hospitality Trust (the “Trust”, “IHT”, “we”, “us” or “our”) is a publicly traded unincorporated Ohio real estate investment trust (REIT) with two hotels IHT has an ownership interest in and manages. The Trust and its shareholders directly in and through a Partnership, own interests in two hotels with an aggregate of 270 hotel suites in Arizona and New Mexico, both (the “Hotels”) operated under the federally trademarked name “InnSuites Hotels” or “InnSuites” as well as operating under the brand name “Best Western”. The Trust and its shareholders hold a $ 1 6 273,000 Hotel Operations: Full service hotels often contain upscale full-service facilities with a large volume of full service accommodations, on-site full-service restaurant(s), and a variety of on-site amenities such as swimming pools, a health club, children’s activities, ballrooms and on-site conference facilities. Moderate or limited-service hotels are small to medium-sized hotel establishments that offer a limited amount of on-site amenities. Most moderate or limited service establishments may still offer full service accommodations. The Trust considers its Tucson, Arizona hotel and our hotel located in a subsidiary of Albuquerque, New Mexico to be moderate or limited service hotels. IHT provides management services and marketing. Our Tucson, Arizona Hotel and our Hotel located in Albuquerque, New Mexico are moderate limited service hotels. Both hotels offer swimming pools, fitness centers, business centers, and complimentary breakfast and high speed internet. In addition, the Hotels offer social areas and modest conference facilities. The Trust is the sole general partner of RRF Limited Partnership, a Delaware limited partnership (the “Partnership”), and owned a 75.98 % and 75.89 75.93 %. As of January 31, 2022, the Partnership owned a 51.01 % interest in an InnSuites® hotel located in Tucson, Arizona. The Trust owns a direct 21.00 % interest in an InnSuites® hotel located in Albuquerque, New Mexico. RRF Limited Partnership, a subsidiary, manages the Hotels’ daily operations under 2 management agreements, commencing May 1, 2021. Prior to this, InnSuites Hotels Inc. (“IHI”), also a subsidiary, managed the Hotels’ daily operations through April 30, 2021, and no longer provides management services to the Hotels thereafter. The Trust also provides the use of the “InnSuites” trademark to the Hotels. All expenses and reimbursements between the Trust, RRF and the Partnership have been eliminated in consolidation. The Trust classified the Hotels as operating assets, but these assets are available for sale. At this time, the Trust is unable to predict when, and if, any of these will be sold. Neither the Tucson Hotel nor the Albuquerque Hotel is currently listed but the Trust is willing to consider offers for the Hotel. Each of the Hotels is being marketed at a price that management believes is reasonable in relation to its current fair value. PRINCIPLES OF CONSOLIDATION AND BASIS OF PRESENTATION These consolidated financial statements have been prepared by management in accordance with accounting principles in conformity with accounting principles generally accepted in the United States of America (“GAAP”), and include all assets, liabilities, revenues and expenses of the Trust and its wholly-owned subsidiaries. All material intercompany transactions and balances have been eliminated. Certain items have been reclassified to conform to the current fiscal year presentation. The Trust exercises unilateral control over the Partnership and the entities listed below. Therefore, the financial statements of the Partnership and the entities listed below are consolidated with the Trust, and all significant intercompany transactions and balances have been eliminated. SCHEDULE OF ENTITY OWNERSHIP PERCENTAGE IHT OWNERSHIP % ENTITY DIRECT INDIRECT (i) Albuquerque Suite Hospitality, LLC 21.00 % - Tucson Hospitality Properties, LLLP - 51.01 % RRF Limited Partnership 75.98 % - (i) Indirect ownership is through the Partnership (i) Tucson Indirect ownership is through the Partnership The Trust has evaluated subsequent events through the date of the filing of its Form 10-K with the Securities and Exchange Commission. Other than those events disclosed, the Trust is not aware of any other significant events that occurred subsequent to the balance sheet date but prior to the filing of this report that would have a material impact on the Trust’s financial statements. As the general partner of the Partnership, the Trust exercises unilateral control over the Partnership. Under Accounting Standards Codification (“ASC”) Topic 810-10-25, Albuquerque Suite Hospitality, LLC has been determined to be a variable interest entity with the Trust as the primary beneficiary (see Note 5 – “Variable Interest Entity”). Therefore, the financial statements of Albuquerque Suite Hospitality, LLC, are consolidated with the Trust, and all significant intercompany transactions and balances have been eliminated. The financial statements of the Partnership and Tucson Hospitality Properties, LLLP are consolidated with the Partnership and the Trust, and all significant intercompany transactions and balances have been eliminated. NON-CONTROLLING INTEREST Non-controlling interest in the Trust represents the limited partners’ proportionate share of the capital and earnings of the Partnership and the two hotels. Income or loss is allocated to the non-controlling interest based on a weighted average ownership percentage in the entities throughout the period, and capital is allocated based on the ownership percentage at year-end. Any difference between the weighted average and point-in-time allocations is presented as a reallocation of non-controlling interest as a component of shareholders’ equity. As of January 31, 2022, non-controlling interest represented 48.99% interest in the InnSuites® hotel located in Tucson, Arizona, 79.00% interest in the InnSuites® hotel located in Albuquerque, New Mexico, and 24.02% in the Partnership. PARTNERSHIP AGREEMENT The Partnership Agreement of the Partnership provides for the issuance of two classes of Limited Partnership units, Class A and Class B. Class A and Class B Partnership units are identical in all respects, except that each Class A Partnership unit is convertible into one newly-issued Share of Beneficial Interest of the Trust at any time at the option of the limited partner holding the units. The Class B Partnership units may only become convertible, each into one newly issued Share of Beneficial Interest of the Trust, with the approval of the Board of Trustees, in its sole discretion. On January 31, 2022 and 2021, 200,003 211,708 1.51 1.60 2,974,038 22.51% 3,174,041 3,185,746 10,037,476 10,025,771 75.98 75.89 On February 1, 2021, an investor sold 8,014 On July 27, 2021, an investor converted 3,691 3,691 On January 31, 2022, the total IHT Shares of Beneficial Interest are 9,079,513 3,174,041 12,253,554 LIQUIDITY The Trust’s principal source of cash to meet its cash requirements is revenues from hotel room reservations and from RRF Management fees from the Tucson, Arizona and Albuquerque, New Mexico properties. The Trust’s liquidity, including our ability to make distributions to its shareholders, will depend upon the ability of the Trust and the Partnership’s ability to generate sufficient cash flow from hotel operations and to service debt, as well as to generate funds from repayment of intercompany advances and sale of assets. The Covid-19 Virus (the “Virus”) as of March 15, 2020, had previously disrupted the quarterly distributions from both the Albuquerque and Tucson hotels. These quarterly distributions from both the Albuquerque and Tucson hotels resumed February 15, 2022. At a future date, the Trust may receive cash from the operations and/or full or partial sale of its UniGen diversification investment. As of January 31, 2022, the Trust had a related party Demand/Revolving Line of Credit/Promissory Note with an amount payable of approximately $ 977,000 7.0 2,000,000 2,000,000 As of January 31, 2022, the Trust had an amount receivable of the Advances to Affiliate credit facility of approximately $ 0 As of January 31, 2022, the Trust had three Revolving lines of Credit of $ 250,000 With approximately $ 1,224,000 2,000,000 250,000 There can be no assurance that the Trust will be successful selling properties, refinancing debt or raising additional or replacement funds, or that these funds may be available on terms that are favorable to it. If the Trust is unable to raise additional or replacement funds, it may be required to sell certain of our assets to meet liquidity needs, which may not be on terms that are favorable. SEASONALITY OF THE HOTEL BUSINESS The Hotels’ operations historically have been somewhat seasonal. The Tucson Arizona Hotel experiences the highest occupancy in the first fiscal quarter (the winter high season) and, to a lesser extent, the fourth fiscal quarter. The second fiscal quarter tends to be the lowest occupancy period at this Arizona Hotel. This seasonality pattern can be expected to cause fluctuations in the Trust’s quarterly revenues. The Hotel located in Albuquerque, New Mexico historically experience its most profitable periods during the second and third fiscal quarters (the summer high season), providing some balance to the general seasonality of the Trust’s hotel business. The seasonal nature of the Trust’s business increases its vulnerability to risks such as travel disruptions, labor force shortages and cash flow issues. Further, if an adverse event such as an actual or threatened virus pandemic, terrorist attack, international conflict, data breach, regional economic downturn or poor weather should occur at either of its two hotels, the adverse impact to the Trust’s revenues and profit could be significant. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Jan. 31, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES USE OF ESTIMATES The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the audited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Trust’s operations are affected by numerous factors, including the economy, virus/pandemic, competition in the hotel industry and the effect of the economy on the travel and hospitality industries. The Trust cannot predict if any of the above items will have a significant impact in the future, nor can it predict what impact, if any, the occurrence of these or other events might have on the Trust’s operations and cash flows. Significant estimates and assumptions made by management include, but are not limited to, the estimated useful lives of long-lived assets and recoverability of long-lived assets and the fair values of the long-lived assets. PROPERTY AND EQUIPMENT Furniture, fixtures, building and improvements and hotel properties are stated at cost, except for land, and depreciated using the straight-line method over estimated lives ranging up to 40 3 10 Land is an indefinite-lived asset. The Trust tests its land for impairment annually, or whenever events or changes in circumstances indicates an impairment may have occurred, by comparing its carrying value to its implied fair value. For tax purposes the Trust takes advantage of accelerated depreciation methods (MACRS) for new capital additions and improvements to its Hotels. Management applies guidance ASC 360-10-35, to determine when it is required to test an asset for recoverability of its carrying value and whether, or not, an impairment exists. Under ASC 360-10-35, the Trust is required to test a long-lived asset for impairment when there is an indicator of impairment. Impairment indicators may include, but are not limited to, a drop in the performance of a long-lived asset, a decline in the hospitality industry or a decline in the economy. If an indicator of potential impairment is present, then an assessment is performed of whether the carrying amount of an asset exceeds its estimated undiscounted future cash flows over its estimated remaining life. If the estimated undiscounted future cash flows over the asset’s estimated remaining life are greater than the asset’s carrying value, no impairment is recognized; however, if the carrying value of the asset exceeds the estimated undiscounted future cash flows, then the Trust would recognize an impairment expense to the extent the asset’s carrying value exceeds its fair value, if any. The estimated future cash flows are based upon, among other things, assumptions about expected future operating performance, and may differ from actual cash flows. Long-lived assets evaluated for impairment are analyzed on a property-specific basis independent of the cash flows of other groups of assets. Evaluation of future cash flows is based on historical experience and other factors, including certain economic conditions, and committed future bookings. Management has determined no impairment for the Fiscal Years ended January 31, 2022, and January 31, 2021, respectively. CASH The Trust believes it places its cash only with high credit quality financial institutions, although these balances periodically exceed federally insured limits. COST METHOD INVESTMENT IN PRIVATE COMPANY STOCK Investment in private company stock consists of equity securities recorded at fair value. Fair value is defined as the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date. We analyze our marketable securities in accordance with Accounting Standard Codification 321 (“ASC 321”). Valuations for private company stock are based on quoted prices for identical assets in active markets. Where marketable securities were found not be part of an actively traded market, we made a measurement alternative election and estimate the fair value at cost of the investment minus impairment. As of January 31, 2022, the Trust owned 60,000 60,000 REVENUE RECOGNITION Hotel and Operations Revenues are primarily derived from the sources below and are recognized as services are rendered and when collectability is reasonably assured. Amounts received in advance of revenue recognition are considered deferred liabilities and are generally not significant. Revenues primarily consist of room rentals, food and beverage sales, management and trademark fees and other miscellaneous revenues from our properties. Revenues are recorded when rooms are occupied and when food and beverage sales are delivered. Each room night consumed by a guest with a cancellable reservation represents a contract whereby the Trust has a performance obligation to provide the room night at an agreed upon price. For cancellable reservations, the Trust recognizes revenue as each performance obligation (i.e., each room night) is met. Such contract is renewed if the guest continues their stay. For room nights consumed by a guest with a non-cancellable reservation, the entire reservation period represents the contract term whereby the Trust has a performance obligation to provide the room night or nights at an agreed upon price. For non-cancellable reservations, the Trust recognizes revenue over the term of the performance period (i.e., the reservation period) as room nights are consumed. For these reservations, the room rate is typically fixed over the reservation period. The Trust uses an output method based on performance completed to date (i.e., room nights consumed) to determine the amount of revenue it recognizes on a daily basis if the length of a non-cancellable reservation exceeds one night since consumption of room nights indicates when services are transferred to the guest. In certain instances, variable consideration may exist with respect to the transaction price, such as discounts, coupons and price concessions made upon guest checkout. In evaluating its performance obligation, the Trust bundles the obligation to provide the guest the room itself with other obligations (such as free Wi-Fi, grab and go breakfast, access to on-site laundry facilities and parking), as the other obligations are not distinct and separable because the guest cannot benefit from the additional amenities without the consumed room night. The Trust’s obligation to provide the additional items or services is not separately identifiable from the fundamental contractual obligation (i.e., providing the room and its contents). The Trust has no performance obligations once a guest’s stay is complete. We are required to collect certain taxes and fees from customers on behalf of government agencies and remit these back to the applicable governmental agencies on a periodic basis. We have a legal obligation to act as a collection agent. We do not retain these taxes and fees and, therefore, they are not included in revenues. We record a liability when the amounts are collected and relieve the liability when payments are made to the applicable taxing authority or other appropriate governmental agency. ACCOUNTS RECEIVABLES AND ALLOWANCE FOR DOUBTFUL ACCOUNTS Accounts receivable are carried at original amounts billed less an estimate made for doubtful accounts based on a review of outstanding amounts on a quarterly basis (net realizable value). Management generally records an allowance for doubtful accounts for 50 % of balances over 90 days and 100 % of balances over 120 days. Accounts receivable are written off when collection efforts have been exhausted and they are deemed uncollectible. Recoveries, if any, of receivables previously written off are recorded when received. The Trust does not charge interest on accounts receivable balances and these receivables are unsecured. There is $ 0 INCOME TAX RECEIVABLE The Trust amended its corporate tax returns for the year ended January 31, 2019. Such amendments resulted in a refund of approximately $ 294,000 175,000 120,000 52,000 68,000 LEASE ACCOUNTING The Trust determines, at the inception of a contract, if the arrangement is a lease and whether it meets the classification criteria for a finance or operating lease. ROU assets represent the Trust’s right to use an underlying asset during the lease term and lease liabilities represent the Trust’s obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at commencement date based on the present value of fixed lease payments over the lease term. ROU assets also include any advance lease payments and exclude lease incentives. As most of the Trust’s operating leases do not provide an implicit rate, the Trust uses its incremental borrowing rate based on information available at commencement date in determining the present value of lease payments. Finance lease agreements generally include an interest rate that is used to determine the present value of future lease payments. Operating fixed lease expense and finance lease depreciation expense are recognized on a straight-line basis over the lease term (see Note 16). TRUSTEE STOCK-BASED COMPENSATION The Trust has an employee equity incentive plan, which is described further fully in Note 23 - “Share-Based Payments.” The three independent members of the Board of Trustees earn 16,000 IHT Shares per year. The Trust has paid the annual fees due to its Trustees by issuing Shares of Beneficial Interest out of its authorized but unissued Shares. Upon issuance, the Trust recognizes the shares as outstanding. The Trust recognizes expense related to the issuance based on the fair value of the shares upon the date of the restricted share grant and amortizes the expense equally over the period during which the shares vest to the Trustees. In addition, 3,000 2,000 The following table summarizes restricted share activity during Fiscal Years 2021 and 2022. SUMMARIZES OF RESTRICTED SHARE ACTIVITY Restricted Shares Shares Price on date of grant Balance at January 31, 2020 - - Granted 18,000 $ 1.60 Vested (18,000 ) $ 1.60 Forfeited - Balance of unvested awards at January 31, 2021 - Granted 63,000 $ 2.97 Vested (63,000 ) $ 2.97 Balance of unvested awards at January 31, 2022 - - TREASURY STOCK Treasury stock is carried at cost, including any brokerage commissions paid to repurchase the shares. Any shares issued from treasury stock are removed at cost, with the difference between cost and fair value at the time of issuance recorded against Shares of Beneficial Interest. During the three month period ended October 31, 2021, the Trust retired 9,613,138 13,936,972 INCOME TAXES The Trust is subject to federal and state corporate income taxes, and accounts for deferred taxes utilizing an asset and liability method whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when it is determined to be more likely than not that some portion, or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment (see Note 18). DIVIDENDS AND DISTRIBUTIONS In Fiscal Years 2022 and 2021, the Trust paid a semi-annual dividend of $ 0.01 0.02 186,492 191,848 NET INCOME/(LOSS) PER SHARE Basic and diluted net income/(loss) per Share of Beneficial Interest is computed based on the weighted-average number of Shares of Beneficial Interest and potentially dilutive securities outstanding during the period. Dilutive securities are limited to the Class A and Class B units of the Partnership, which are convertible into 3,174,041 For the years ended January 31, 2022 and 2021, there were Class A and Class B Partnership units outstanding, which are convertible into Shares of Beneficial Interest of the Trust. Assuming conversion at the beginning of each period, the aggregate weighted-average of these Shares of Beneficial Interest would have been 3,174,041 SEGMENT REPORTING As a result of the sale of IBC (see Note 6), the Chief Operating Decision Maker (“CODM”), Mr. Wirth, CEO of the Trust, has determined that the Trust operations are comprised of one reportable segment, Hotel Operations & Hotel Management Services (continuing operations) segment that has ownership interest in two hotel properties with an aggregate of 270 suites in Arizona and New Mexico. The Trust has chosen to focus its hotel investments on the southwest region of the United States. The CODM does not review assets by geographical region; therefore, no income statement or balance sheet information by geographical region is provided. ADVERTISING COSTS Amounts incurred for advertising costs are expensed as incurred. Advertising expense totaled approximately $ 252,000 191,000 CONCENTRATION OF CREDIT RISK Credit risk is the risk of an unexpected loss if a third party to a financial instrument fails to meet its contractual obligations. Financial instruments that potentially subject the Trust to a concentration of credit risk consist primarily of cash and cash equivalents. Management’s assessment of the Trust’s credit risk for cash and cash equivalents is low as cash and cash equivalents are held in financial institutions believed to be credit worthy. The Trust limits its exposure to credit loss by placing its cash with various major financial institutions and invests only in short-term obligations. While the Trust is exposed to credit losses due to the non-performance of its counterparties, the Trust considers the risk of this remote. The Trust estimates its maximum credit risk for accounts receivable at the amount recorded on the balance sheet. FAIR VALUE OF FINANCIAL INSTRUMENTS For disclosure purposes, fair value is determined by using available market information and appropriate valuation methodologies. Fair value is defined as the price that would be received from the sale of an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants in the principal or most advantageous market for the asset or liability. The fair value framework specifies a hierarchy of valuation techniques, which is based on whether the inputs into the valuation technique are observable or unobservable. The fair value hierarchy levels are as follows: ● Level 1 – Valuation techniques in which all significant inputs are unadjusted quoted prices from active markets for assets or liabilities that are identical to the assets or liabilities being measured. ● Level 2 – Valuation techniques in which significant inputs include quoted prices from active markets for assets or liabilities that are similar to the assets or liabilities being measured and / or quoted prices for assets or liabilities that are identical or similar to the assets or liabilities being measured from markets that are not active. Also, model-derived valuations in which all significant inputs and significant value drivers are observable in active markets are level 2 valuation techniques. ● Level 3 – Valuation techniques in which one or more significant inputs or significant value drivers are unobservable. Unobservable inputs are valuation technique inputs that reflect a company’s own judgments about the assumptions that market participants would use in pricing an asset or liability. The Trust has assets that are carried at fair value on a recurring basis, including stock and warrants in a 3 rd Due to their short maturities, the carrying value of cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate fair value. The fair value of mortgage notes payable, notes payable to banks and notes and advances payable to related parties is estimated by using the current rates which would be available for similar loans having the same remaining maturities and are based on level 3 inputs. |
SALE OF OWNERSHIP INTERESTS IN
SALE OF OWNERSHIP INTERESTS IN ALBUQUERQUE SUBSIDIARY | 12 Months Ended |
Jan. 31, 2022 | |
Sale Of Ownership Interests In Albuquerque Subsidiary | |
SALE OF OWNERSHIP INTERESTS IN ALBUQUERQUE SUBSIDIARY | 3. SALE OF OWNERSHIP INTERESTS IN ALBUQUERQUE SUBSIDIARY On July 22, 2010, the Board of Trustees unanimously approved, with Mr. Wirth abstaining, for the Partnership to enter into an agreement with Rare Earth Financial, LLC (“Rare Earth”), an affiliate of Mr. Wirth, to sell units in Albuquerque Suite Hospitality, LLC (the “Albuquerque entity”), which owns and operates the Albuquerque, New Mexico hotel property. Under the agreement, Rare Earth agreed to either purchase or bring in other investors to purchase at least 49 400 10,000 On December 9, 2013, the Trust entered into an updated restructuring agreement with Rare Earth to allow for the sale of additional interest units in the Albuquerque entity for $ 10,000 150 190 50.1 700 If certain triggering events related to the Albuquerque entity occur prior to the payment of all accumulated distributions to its members, such accumulated distributions will be paid out of any proceeds of the event before general distribution of the proceeds to the members. In the event that funds generated from a triggering event are insufficient to pay the total amount of all such accumulated distributions owed to the members, all Class A members will participate pro rata in the funds available for distribution to them until paid in full, then Class B, and then Class C. After all investors have received their initial capital plus a 7 50 50 128,000 100 On February 15, 2017, the Trust and Partnership entered into a restructuring agreement with Rare Earth to allow for the sale of non-controlling partnership units in the Albuquerque entity for $ 10,000 250 250 550 600 200 200,000 Two Class A units were sold back to the Trust during the Fiscal Year ended January 31, 2022 for $ 20,000 20,000 21.00 126 0.17 78.83 473 |
SALE OF OWNERSHIP INTERESTS I_2
SALE OF OWNERSHIP INTERESTS IN TUCSON HOSPITALITY PROPERTIES SUBSIDIARY | 12 Months Ended |
Jan. 31, 2022 | |
Sale Of Ownership Interests In Tucson Hospitality Properties Subsidiary | |
SALE OF OWNERSHIP INTERESTS IN TUCSON HOSPITALITY PROPERTIES SUBSIDIARY | 4. SALE OF OWNERSHIP INTERESTS IN TUCSON HOSPITALITY PROPERTIES SUBSIDIARY On February 17, 2011, the Partnership entered into a restructuring agreement with Rare Earth to allow for the sale of non-controlling interest units in Tucson Hospitality Properties, LP (the “Tucson entity”), which operates the Tucson Oracle hotel property, then wholly owned by the Partnership. Under the agreement, Rare Earth agreed to either purchase or bring in other investors to purchase up to 250 41 On October 1, 2013, the Partnership entered into an updated restructured limited partnership agreement with Rare Earth to allow for the sale of additional interest units in the Tucson entity for $ 10,000 160 200 50.1 700 If certain triggering events related to the Tucson entity occur prior to the payment of all accumulated distributions to its members, such accumulated distributions will be paid out of any proceeds of the event before general distribution of the proceeds to the members. In the event that funds generated from a triggering event are insufficient to pay the total amount of all such accumulated distributions owed to the members, all Class A members will participate pro rata in the funds available for distribution to them until paid in full, then Class B, and then Class C. After all investors have received their initial capital plus a 7 50 50 128,000 100 During the Fiscal Years ended January 31, 2022 and 2021, there were no units of the Tucson entity sold. As of January 31, 2022, the Partnership held a 51.01 404 0.38 3 48.61 385 |
VARIABLE INTEREST ENTITIES
VARIABLE INTEREST ENTITIES | 12 Months Ended |
Jan. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VARIABLE INTEREST ENTITIES | 5. VARIABLE INTEREST ENTITIES Management evaluates the Trust’s explicit and implicit variable interests to determine if they have any interests in variable interest entities (“VIEs”). Variable interests are contractual, ownership, or other pecuniary interests in an entity whose value changes with changes in the fair value of the entity’s net assets, exclusive of variable interests. Explicit variable interests are those which directly absorb the variability of a VIE and can include contractual interests such as loans or guarantees as well as equity investments. An implicit variable interest acts the same as an explicit variable interest except it involves the absorbing of variability indirectly, such as through related party arrangements or implicit guarantees. The analysis includes consideration of the design of the entity, its organizational structure, including decision making ability over the activities that most significantly impact the VIE’s economic performance. GAAP requires a reporting entity to consolidate a VIE when the reporting entity has a variable interest, or combination of variable interest, that provides it with a controlling financial interest in the VIE. The entity that consolidates a VIE is referred to as the primary beneficiary of that VIE. The Partnership has determined that the Albuquerque entity is a variable interest entity with the Partnership as the primary beneficiary with the ability to exercise control, as determined under the guidance of ASC Topic 810-10-25. In its determination, management considered the following qualitative and quantitative factors: a) The Partnership, Trust, and their related parties, which share common ownership and management, have guaranteed material financial obligations of the Albuquerque hotel. b) The Partnership, Trust and their related parties have maintained, as a group, a controlling ownership interest in the Albuquerque hotel, with the largest ownership belonging to the Trust. c) The Partnership, Trust and their related parties have maintained control over the decisions which most impact the financial performance of the Albuquerque hotel, including providing the personnel to operate the property daily. The following table includes assets that can only be used to settle the liabilities of Albuquerque Suites Hospitality LLC (Albuquerque Hotel) and the creditors have no recourse to the Trust. These assets and liabilities, with the exception of the intercompany accounts, which are eliminated upon consolidation with the Trust, are included in the accompanying consolidated balance sheets. SCHEDULE OF VARIABLE INTEREST ENTITIES January 31, 2022 2021 Assets Cash $ 419,762 $ 81,652 Accounts Receivable 29,985 11,231 Prepaid Expenses and Deposits 9,869 24,032 Hotel Properties, Net 1,181,154 1,394,528 Operating Lease -Right of Use 2,021,354 2,053,709 Total Assets $ 3,662,124 $ 3,565,152 Liabilities Accounts Payable and Accrued Expenses $ 567,190 $ 894,517 Other Notes Payable - 187,685 Operating Lease Liability (ASC 842) 2,275,092 2,276,820 Mortgage Notes Payable 1,296,019 1,354,704 Total Liabilities $ 4,138,301 $ 4,713,726 Equity (476,177 ) (1,148,574 ) Liabilities & Equity $ 3,662,124 $ 3,565,152 |
NOTES RECEIVABLE
NOTES RECEIVABLE | 12 Months Ended |
Jan. 31, 2022 | |
Notes Receivable | |
NOTES RECEIVABLE | 6. NOTES RECEIVABLE Sale of IBC Hospitality Technologies; IBC Hotels LLC (IBC) On August 15, 2018 InnSuites Hospitality Trust (IHT) entered into a final sale agreement for its technology subsidiary, IBC Hotels LLC (IBC), with an effective sale date as of August 1, 2018 to an unrelated third-party buyer (Buyer). The sale agreement was later amended due to the effects of Covid-19, on October 20, 2021, as further described below. As a part of the amended sale agreement, the Trust received a secured promissory note in the principal amount of $ 1,925,000 with interest to be accrued at 3.75 % per annum, which is recorded in the accompanying consolidated balance sheet in continuing operations. ● No interest accrued through May 2023, and no payments on the note receivable including principal and interest based on the recently extended time period are due through May 2023. ● Note is secured by (1) pledge of the Buyer’s interest in IBC, and (2) a security interest in all assets of IBC, provided IHT shall agree to subordinate such equity interest to commercially reasonable debt financing upon request. ● If after effective date IBC closes an equity transaction with net proceeds to IBC in excess of $2,500,000, IBC/Buyer shall pay or pre-pay to IHT an amount equal to (a) 50% of the net proceeds received by IBC and (b) 50% of the sum of the unpaid balance of the note and accrued interest accrued but unpaid interest thereon, as the date of receipt of the net proceeds by IBC ● The note matures on June 1, 2024 ● Future payments on this note are shown in the table below. SCHEDULE OF FUTURE PAYMENTS OF DEBT FISCAL YEAR 2023 $ 250,000 2024 1,675,000 Total $ 1,925,000 As of January 31, 2022, management evaluated the carrying value of the note determined no further impairment is needed at this time. This is detailed further with an extension to May 2023, which allows time for IBC to benefit from the current rebound in the travel, hospitality services, and hotel industries currently being experienced. IHT has no managerial control nor does IHT have the ability to direct the operations or capital requirements of IBC as of August 1, 2018. IHT has no rights to any benefits or losses from IBC as of August 1, 2018. |
CONVERTIBLE NOTE RECEIVABLE, CO
CONVERTIBLE NOTE RECEIVABLE, COMMON STOCK AND WARRANTS IN UNIGEN POWER, INC. | 12 Months Ended |
Jan. 31, 2022 | |
Convertible Note Receivable Common Stock And Warrants In Unigen Power Inc. | |
CONVERTIBLE NOTE RECEIVABLE, COMMON STOCK AND WARRANTS IN UNIGEN POWER, INC. | 7. CONVERTIBLE NOTE RECEIVABLE, COMMON STOCK AND WARRANTS IN UNIGEN POWER, INC. On December 16, 2019, the Trust entered into a Convertible Debenture Purchase Agreement with UniGen Power Inc. (“UPI” or “UniGen”). The Trust purchased secured convertible debentures (“Debentures”) in the aggregate amount of $ 1,000,000 6 1,000,000 1.00 UniGen issued the Trust common stock purchase warrants (the “Debenture Warrants”) to purchase up to 1,000,000 1.00 UniGen, also, issued the Trust additional common stock purchase warrants (“Additional Warrants”) to purchase up to 200,000 2.25 300,000 2.25 IHT may fund a $ 500,000 1 500,000 500,000 1 2.6 300,000 2.25 0 The total of all stock ownership upon conversion of the note receivable is 1 3 25 On the Trust’s balance sheet, the investment of the $ 1,000,000 700,000 300,000 The value of the warrants issued with the note receivable was based on Black-Scholes pricing model based on the following inputs: SCHEDULE OF WARRANTS VALUATION ASSUMPTIONS Debenture Warrants Type of option Call option Stock price $ 2.25 Exercise (Strike) price $ 1.00 Time to maturity (years) 2.0 Annualized risk-free rate 1.630 % Annualized volatility 27.43 % Additional Warrants Type of option Call option Stock price $ 2.25 Exercise (Strike) price $ 2.25 Time to maturity (years) 3.0 Annualized risk-free rate 1.630 % Annualized volatility 27.43 % If all notes are converted and all available but not outstanding warrants exercised, IHT would hold up to approximately 25 During the year ended January 31, 2021, the Trust reinvested $ 60,000 60,000 60,000 During the year ended January 31, 2022, the Trust reinvested $ 60,000 of interest income to exercise 60,000 warrants for 60,000 shares of common stock in UniGen. Additionally, the Trust exercised 75,000 warrants for a total of $ 168,750 for 75,000 shares of common stock in UniGen. As of January 31, 2022, IHT held 195,000 common shares of UniGen. Management believes recording the investment at cost approximates fair value since there have been no significant changes in the operations of UniGen and UniGen’s projects are still in the R&D phase. The Trust has valued UniGen investment as a level 3 fair value measurement, for the following reasons: The investment does not qualify for level 1 since there are no identical actively traded instruments or level 2 identical or similar unobservable markets. |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended |
Jan. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | 8. PROPERTY AND EQUIPMENT As of January 31, 2022 and January 31, 2021, hotel properties consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT HOTEL PP&E January 31, 2022 January 31, 2021 Land $ 2,500,000 $ 2,500,000 Building and improvements 10,577,297 10,531,947 Furniture, fixtures and equipment 4,114,400 4,058,681 Total hotel properties 17,191,697 17,090,628 Total property, plant and equipment 17,191,697 17,090,628 Less accumulated depreciation (9,664,472 ) (8,961,498 ) Hotel properties, net 7,527,225 8,129,130 Property, Plant and Equipment, net $ 7,527,225 $ 8,129,130 As of January 31, 2022 and January 31, 2021, property and equipment consisted of the following: CORPORATE PP&E January 31, 2022 January 31, 2021 Land $ 7,005 $ 7,005 Building and improvements 75,662 75,662 Furniture, fixtures and equipment 392,879 540,014 Total property, plant and equipment 475,546 622,681 Less accumulated depreciation (423,458 ) (561,961 ) Property, Plant and Equipment, net $ 52,088 $ 60,720 |
PREPAID EXPENSES AND OTHER CURR
PREPAID EXPENSES AND OTHER CURRENT ASSETS | 12 Months Ended |
Jan. 31, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
PREPAID EXPENSES AND OTHER CURRENT ASSETS | 9. PREPAID EXPENSES AND OTHER CURRENT ASSETS Prepaid expenses and other current assets are carried at historical cost and are expected to be consumed within one year. As of January 31, 2022, and 2021, prepaid expenses and other current assets consisted of the following: SCHEDULE OF PREPAID EXPENSES AND OTHER CURRENT ASSETS January 31, 2022 January 31, 2021 Tax and Insurance Escrow $ 63,512 $ 60,522 Deposits 7,000 5,000 Prepaid Insurance - 24,515 Prepaid Workman’s Compensation - 12,124 Miscellaneous Prepaid Expenses 47,356 66,731 Total Prepaid Expenses and Current Assets $ 117,868 $ 168,892 |
ACCOUNTS PAYABLE AND ACCRUED EX
ACCOUNTS PAYABLE AND ACCRUED EXPENSES | 12 Months Ended |
Jan. 31, 2022 | |
Payables and Accruals [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED EXPENSES | 10. ACCOUNTS PAYABLE AND ACCRUED EXPENSES As of January 31, 2022 and 2020, accounts payable and accrued expenses consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES January 31, 2022 January 31, 2021 Accounts Payable $ 203,165 $ 136,648 Accrued Salaries and Wages 246,600 148,576 Accrued Vacation 10,000 11,687 Income Tax Payable 93,944 93,944 Accrued Interest Payable 14,950 17,482 Advanced Deposits 250 19,371 Accrued Property Taxes 35,392 74,486 Sales Tax Payable 154,079 1,088,726 Accrued Other 142,989 262,682 Total Accounts Payable and Accrued Expenses $ 901,369 $ 1,853,602 |
MORTGAGE NOTES PAYABLE
MORTGAGE NOTES PAYABLE | 12 Months Ended |
Jan. 31, 2022 | |
Debt Disclosure [Abstract] | |
MORTGAGE NOTES PAYABLE | 11. MORTGAGE NOTES PAYABLE On January 31, 2022 and January 31, 2021, the Trust had a mortgage note payable outstanding with respect to the Tucson Hotel. The mortgage note payable has a scheduled maturity date in June 2042. Weighted average annual interest rates on mortgage notes payable as of January 31, 2022 and January 31, 2021 were 4.69 The following table summarizes the Trust’s mortgage notes payable, net of debt discounts, as of January 31, 2022: SCHEDULE OF MORTGAGE NOTES PAYABLE 2022 2021 Mortgage note payable, due in monthly installments of $ 28,493 4.69 6.3 $ 4,461,283 $ 4,582,880 Mortgage note payable, due in monthly installments of $ 9,218 4.90 1.2 1,296,019 1,354,704 Totals: $ 5,757,302 $ 5,937,584 On June 29, 2017, Tucson Oracle entered into a $ 5.0 3.045 June 19, 2042 4.69 2.0 4.69 4,461,000 On December 2, 2019, Albuquerque Suites Hospitality, LLC entered into a $ 1.4 December 2, 2029 4.90 3.5 4.69 1,296,000 See Note 15 – “Minimum Debt Payments” for scheduled minimum payments on the mortgage notes payable. |
NOTES PAYABLE TO BANKS
NOTES PAYABLE TO BANKS | 12 Months Ended |
Jan. 31, 2022 | |
Notes Payable To Banks | |
NOTES PAYABLE TO BANKS | 12. NOTES PAYABLE TO BANKS On October 17, 2017, the Trust entered into a Business Loan Agreement with Republic Bank of Arizona for a revolving line of credit for $ 150,000 December 2021 0 On October 17, 2017 Albuquerque Suite Hospitality LLC (the Albuquerque Hotel) entered into a Business Loan Agreement with Republic Bank of Arizona for a revolving line of credit for $ 50,000 October 2022 0 On October 17, 2017 Tucson Hospitality Properties LLLP (the Tucson Hotel) entered into a Business Loan Agreement for a revolving line of credit for $ 50,000 October 2022 0 |
RELATED PARTY NOTES
RELATED PARTY NOTES | 12 Months Ended |
Jan. 31, 2022 | |
Related Party Notes | |
RELATED PARTY NOTES | 13. RELATED PARTY NOTES On December 1, 2014, the Trust entered a $ 1,000,000 7.0 2,000,000 977,000 1,595,000 261,000 878,000 |
OTHER NOTES PAYABLE
OTHER NOTES PAYABLE | 12 Months Ended |
Jan. 31, 2022 | |
Disclosure Other Notes Payable Abstract | |
OTHER NOTES PAYABLE | 14. OTHER NOTES PAYABLE As of January 31, 2022, the Trust had approximately $ 20,000 146,124 7 January 2023 As of January 31, 2022, the Trust had a $ 200,000 4.5 193,000 On June 20, 2016, March 1 2017, May 30, 2018, and July 18, 2018 the Trust and the Partnership together entered into multiple unsecured loans totaling $ 270,000 4.5 The loans have been subsequently extended to December 2022 261,000 On March 20, 2017, the Trust and Partnership entered multiple, unsecured loans to Marriott Sweitzer Hayes (“Sweitzer Loans”), totaling $ 100,000 4.0 The loans have been subsequently extended to December 2022 97,000 As a result of the Covid-19 Virus Pandemic, and the subsequent Legislation passed within the CARES Act of 2020, the Trust applied for and received Small Business Administration (“SBA”) loans through the Paycheck Protection Program (“PPP”). Loans in the amount of approximately $ 229,000 188,000 87,000 As of January 31, 2021 the PPP Loan in other income received by the Trust was fully forgiven in the amount of approximately $ 87,000 228,602 187,686 On March 5, 2021, the Albuquerque hotel received another PPP Loan in the amount of $ 253,253 297,601 See Note 15 – “Minimum Debt Payments” for scheduled minimum payments on the debt liabilities. |
MINIMUM DEBT PAYMENTS
MINIMUM DEBT PAYMENTS | 12 Months Ended |
Jan. 31, 2022 | |
Debt Disclosure [Abstract] | |
MINIMUM DEBT PAYMENTS | 15. MINIMUM DEBT PAYMENTS Scheduled minimum payments of debt, net of debt discounts, as of January 31, 2022 are approximately as follows in the respective Fiscal Years indicated: SCHEDULED OF MINIMUM PAYMENTS OF DEBT FISCAL YEAR MORTGAGES OTHER NOTES PAYABLE NOTES PAYABLE - RELATED PARTY TOTAL 2023 174,956 571,187 - 746,143 2024 217,255 - 977,547 1,194,802 2025 190,932 - - 190,932 2026 201,594 - - 201,594 2027 212,034 - - 212,034 Thereafter 4,760,531 - 4,760,531 $ 5,757,302 $ 571,187 $ 977,547 $ 7,306,036 |
LEASES
LEASES | 12 Months Ended |
Jan. 31, 2022 | |
Leases | |
LEASES | 16. LEASES The Trust has operating leases for its corporate offices in Phoenix, Arizona and land leased in Albuquerque, New Mexico, and a cable equipment finance lease in Tucson, Arizona. The Trust’s corporate office lease includes options to extend or terminate the leases and the Trust includes these options in the lease term when it is reasonably certain to exercise that option. All leases are non-cancelable. Operating Leases On August 4, 2017, the Trust entered into a five-year office lease agreement with Northpoint Properties for a commercial office lease at 1730 E Northern Ave, Suite 122, Phoenix, Arizona 85020 commencing on September 1, 2017 . Base monthly rent of $ 4,100 increases 6 % on a yearly basis. No rent is due for July 2022. The Trust also agreed to pay electricity and applicable sales tax. The office lease was renewed in March, 2022 on a month to month basis. The Trust’s Albuquerque Hotel is subject to non-cancelable ground lease. The Albuquerque Hotel non-cancelable ground lease was extended on January 14, 2014 and expires in 2058 The Trust’s Operating Lease costs recognized in the consolidated statement of operations for the year ended January 31, 2022 consist of the following: SCHEDULE OF LEASE COSTS Fiscal Year Ended January 31, 2022 Operating Lease Costs: Operating lease cost* 169,322 Supplemental cash flow information is as follows: SCHEDULE OF CASH FLOW INFORMATION Fiscal Year Ended January 31, 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 28,171 Lease obligations: Operating leases, net $ 2,310,745 Long-term obligations $ 2,273,278 Weighted average remaining lease terms and discount rates were as follows: SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERMS AND DISCOUNT RATES Weighted average remaining lease term (years) January 31, 2022 Operating leases 36 Weighted average discount rate 4.85 % Operating leases Finance Leases The Company’s Tucson Oracle Hotel is subject to non-cancelable cable lease that expires in 2023 The Trust’s Finance Lease costs recognized in the Consolidated Statement of Income for the Fiscal Year ended January 31, 2022 consist of the following: SCHEDULE OF LEASE COSTS Fiscal Year Ended January 31, 2022 Finance Lease Costs: Amortization of right-of-use assets $ 20,812 Interest on lease obligations 2,576 Supplemental cash flow information is as follows: SCHEDULE OF CASH FLOW INFORMATION Fiscal Year Ended January 31, 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ (109 ) Lease obligations: Finance leases, net $ 52,118 Long-term obligations $ 22,878 Weighted average remaining lease terms and discount rates were as follows: SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERMS AND DISCOUNT RATES Weighted average remaining lease term (years) January 31, 2022 Finance leases 2 Weighted average discount rate 4.85 % Finance leases The aggregate future lease payments for Finance Lease Liability as of January 31, 2022 are as follows: SCHEDULE OF FUTURE LEASE PAYMENTS FOR FINANCE LEASE LIABILITY For the Years Ending January 31, 2023 31,123 2024 23,343 Total minimum lease payments $ 54,466 Less: amount representing interest 2,348 Total present value of minimum payments 52,118 Less: current portion $ 29,240 Long term portion of finance lease liability 22,878 The aggregate annual lease obligations at January 31, 2022 are as follows: SCHEDULE OF ANNUAL LEASE OBLIGATIONS Fiscal Year Operating Leases Finance Leases 2023 $ 148,348 $ 31,123 2024 112,116 23,343 2025 112,116 2026 112,116 2027 112,116 Thereafter 4,927,079 Total Undiscounted Lease Obligations 5,523,891 54,466 Less Imputed Interest 3,213,146 29,240 Net Lease Obligations $ 2,310,745 $ 25,226 |
DESCRIPTION OF BENEFICIAL INTER
DESCRIPTION OF BENEFICIAL INTERESTS | 12 Months Ended |
Jan. 31, 2022 | |
Description Of Beneficial Interests | |
DESCRIPTION OF BENEFICIAL INTERESTS | 17. DESCRIPTION OF BENEFICIAL INTERESTS Holders of the Trust’s Shares of Beneficial Interest are entitled to receive dividends when and if declared by the Board of Trustees of the Trust out of funds legally available, therefore. The holders of Shares of Beneficial Interest, upon any liquidation, dissolution or winding-down of the Trust, are entitled to share ratably in any assets remaining after payment in full of all liabilities of the Trust. The Shares of Beneficial Interest possess ordinary voting rights, each share entitling the holder thereof to one vote. Holders of Shares of Beneficial Interest do not have cumulative voting rights in the election of Trustees and do not have preemptive rights. On January 2, 2001, the Board of Trustees approved a share repurchase program under Rule 10b-18 of the Securities Exchange Act of 1934, as amended, for the purchase of up to 250,000 350,000 300,000 250,000 350,000 750,000 For the years ended January 31, 2022 and 2021, the Trust repurchased 44,076 233,569 2.96 1.06 372,965 |
FEDERAL INCOME TAXES
FEDERAL INCOME TAXES | 12 Months Ended |
Jan. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
FEDERAL INCOME TAXES | 18. FEDERAL INCOME TAXES The Trust and subsidiaries have income tax net operating loss carryforwards of approximately $ 5.4 The Trust amended the federal and state income tax returns for tax years 2017 and 2018, resulting in a recalculation of the net operating loss carry-forward. The impact of the amended returns are reflected in the below data. Total and net deferred income tax assets on January 31, SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES 2022 2021 Net operating loss carryforwards $ 1,352,000 $ 1,352,000 Bad debt allowance - 2,000 Accrued expenses (2,000 ) (2,000 ) Syndications 2,923,000 2,923,000 Prepaid insurance - (4,000 ) Alternative minimum tax credit 51,000 51,000 Total differed tax asset 4,324,000 4,322,000 Deferred income tax liability associated with book/tax (1,396,860 ) (1,502,000 ) Net deferred income tax asset 2,927,140 2,820,000 Valuation Allowance (2,927,140 ) (2,820,000 ) Net deferred income tax - - Income taxes for the year ended January 31, SCHEDULE OF INCOME TAX PROVISION 2022 2021 Current income tax benefit (50 ) (68,661 ) Deferred income tax provision 321,306 321,306 Change in valuation allowance (321,306 ) (321,306 ) Net income tax benefit (50 ) (68,661 ) The differences between the statutory and effective tax rates are as follows for the year ended January 31, 2022: SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION 2022 Amount Percent Federal statutory rates $ 53,370 - 4 % State income taxes 13,254 - 1 % Change in valuation allowance (80,100 ) 5 % True-up in prior year returns - 0 % Effective Rate - 1 % The differences between the statutory and effective tax rates are as follows for the year ended January 31, 2021: 2021 Amount Percent Federal statutory rates $ (309,200 ) 21 % State income taxes (77,000 ) 5 % Change in valuation allowance 321,300 -22 % True-up in prior year returns (4,000 ) 0 % Effective Rate - 5 % The Trust is taxed as a C-Corporation. The Trust’s practice is to recognize interest and/or penalties related to income tax matters in income tax expense. The Trust has received various IRS and state tax jurisdiction notices which the Trust in the process of responding to in which management believes the notices are without merit and expect full remediation of all tax notices. The Trust and subsidiaries have deferred tax assets of $ 4.3 million which includes cumulative net operating loss carryforwards of $ 1.3 million and syndications of $ 2.9 million, and deferred tax liability associated with book/tax differences of $ 1.5 million as of January 31, 2022. We have evaluated the net deferred tax asset and determined that it is not more likely than not we will receive full benefit from the net operating loss carryforwards. Therefore, we have determined a valuation allowance of approximately $ 2.9 million. |
OTHER RELATED PARTY TRANSACTION
OTHER RELATED PARTY TRANSACTIONS | 12 Months Ended |
Jan. 31, 2022 | |
Other Related Party Transactions | |
OTHER RELATED PARTY TRANSACTIONS | 19. OTHER RELATED PARTY TRANSACTIONS As of January 31, 2022 and January 31, 2021, Mr. Wirth and his affiliates held 2,974,038 Class B Partnership units, which represented 22.51 % of the total outstanding Partnership units, respectively. As of January 31, 2022 and January 31, 2021, Mr. Wirth and his affiliates held 5,876,683 Shares of Beneficial Interest in the Trust, respectively, which represented 64.72 % and 61.42 % respectively, of the total issued and outstanding Shares of Beneficial Interest. As of January 31, 2022 and January 31, 2021, the Trust owned 75.98 75.89 % of the Partnership, respectively. As of January 31, 2022, the Partnership owned a 51.01 % interest in the InnSuites® hotel located in Tucson. The Trust also owned a direct 21.00% During the Fiscal Years ended January 31, 2022 and 2021, the Trust paid Berg Investment Advisors $ 6,000 6,000 for additional consultative services rendered by Mr. Marc Berg, the Trust’s Executive Vice President. The Trust employs an immediate family member of Mr. Wirth, Brian James Wirth, who provides technology support services to the Trust, receiving a $ 62,000 |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 12 Months Ended |
Jan. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | 20. FAIR VALUE OF FINANCIAL INSTRUMENTS The following table presents the estimated fair values of the Trust’s debt instruments, based on rates currently available to the Trust for bank loans with similar terms and average maturities, and the associated carrying value recognized in the consolidated balance sheets at January 31, 2022 and 2020: SCHEDULE OF FAIR VALUE LIABILITIES MEASURED ON RECURRING BASIS 2022 2021 Carrying Amount Fair Value Carrying Amount Fair Value Mortgage Notes Payable $ 5,757,302 $ 3,408,024 $ 5,937,584 $ 3,677,645 Other Notes Payable $ 571,187 $ 571,187 $ 1,048,093 $ 1,048,093 Notes Payable - Related Party $ 977,547 $ 977,547 $ - $ - |
SUPPLEMENTAL CASH FLOW DISCLOSU
SUPPLEMENTAL CASH FLOW DISCLOSURES | 12 Months Ended |
Jan. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
SUPPLEMENTAL CASH FLOW DISCLOSURES | 21. SUPPLEMENTAL CASH FLOW DISCLOSURES SCHEDULE OF SUPPLEMENTAL CASH FLOWS DISCLOSURES 2022 2021 Cash Paid for Interest $ 374,000 $ 412,000 Notes Payable $ 10,000 $ 10,000 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Jan. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 22. COMMITMENTS AND CONTINGENCIES Restricted Cash: The Trust is obligated under a loan agreement relating to the Tucson Oracle property to deposit 4 0 Membership Agreements: InnSuites Hotels has entered into membership agreements with Best Western International, Inc. (“Best Western”) for both hotel properties. In exchange for use of the Best Western name, trademark and reservation system, all Hotels pay fees to Best Western based on reservations received through the use of the Best Western reservation system and the number of available suites at the Hotels. The agreements with Best Western have no specific expiration terms and may be cancelled by either party. Best Western requires that the hotels meet certain requirements for room quality, and the Hotels are subject to removal from its reservation system if these requirements are not met. The Hotels with third-party membership agreements received significant reservations through the Best Western reservation system. Under these arrangements, fees paid for membership fees and reservations were approximately $ 160,00 and $ 131,000 for the Fiscal Years ended January 31, 2022 and 2021, respectively. These costs include fees for the Albuquerque and Tucson hotels in 2021. These fees are included in room operating expenses on the consolidated statements of operations for Albuquerque and Tucson. Litigation: The Trust is involved from time to time in various other claims and legal actions arising in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Trust’s unaudited condensed consolidated financial position, results of operations or liquidity. The nature of the operations of the Hotels exposes them to risks of claims and litigation in the normal course of their business. Although the outcome of these matters cannot be determined and is covered by insurance, management does not expect that the ultimate resolution of these matters will have a material adverse effect on the unaudited condensed consolidated financial position, results of operations or liquidity of the Trust. Indemnification: The Trust has entered into indemnification agreements with all of our executive officers and Trustees. The agreements provide for indemnification against all liabilities and expenses reasonably incurred by an officer or Trustee in connection with the defense or disposition of any suit or other proceeding, in which he or she may be involved or with which he or she may be threatened, while in office or thereafter, because of his or her position at the Trust. There is no indemnification for any matter as to which an officer or Trustee is adjudicated to have acted in bad faith, with willful misconduct or reckless disregard of his or her duties, with gross negligence, or not in good faith in the reasonable belief that his or her action was in the Trust’s best interests. These agreements require the Trust, among other things, to indemnify the director or officer against specified expenses and liabilities, such as attorneys’ fees, judgments, fines and settlements, paid by the individual in connection with any action, suit or proceeding arising out of the individual’s status or service as our director or officer, other than liabilities arising from willful misconduct or conduct that is knowingly fraudulent or deliberately dishonest, and to advance expenses incurred by the individual in connection with any proceeding against the individual with respect to which the individual may be entitled to indemnification by us. The Trust may advance payments in connection with indemnification under the agreements. The level of indemnification is to the full extent of the net equity based on appraised and/or market value of the Trust. Historically, the Trust has not incurred any payments for these obligations and, therefore, no liabilities have been recorded for these indemnities in the accompanying consolidated balance sheets. |
SHARE-BASED PAYMENTS
SHARE-BASED PAYMENTS | 12 Months Ended |
Jan. 31, 2022 | |
Equity [Abstract] | |
SHARE-BASED PAYMENTS | 23. SHARE-BASED PAYMENTS The Trust compensates its three non-employee Trustees for their services through grants of restricted Shares. The aggregate grant date fair value of these Shares was $ 143,560 These restricted 48,000 shares, ( 16,000 each to the three Independent Trustees), vest in equal monthly amounts during Fiscal Year 2022. In addition, 3,000 2,000 See Note 2 – “Summary of Significant Accounting Policies” for information related to grants of restricted shares under “Stock-Based Compensation.” |
COVID-19 DISCLOSURE
COVID-19 DISCLOSURE | 12 Months Ended |
Jan. 31, 2022 | |
Unusual or Infrequent Items, or Both [Abstract] | |
COVID-19 DISCLOSURE | 24. COVID-19 DISCLOSURE COVID-19 has had a material detrimental impact on our business, financial results and liquidity, and such impact could worsen and last for an unknown period of time. The global spread of COVID-19 has been and continues to be a complex and rapidly evolving situation, with governments, public institutions and other organizations imposing or recommending, and business and individuals implementing, at various times and to varying degrees, restrictions on various activities or other actions to combat its spread, such as restrictions and bans on travel or transportation, limitations on the size of gatherings, closures of or occupancy or other operating limitations on work facilities, schools, public buildings and business, cancellation of events, including sporting events, conferences and meetings, and quarantines and lock-downs. COVID-19 and its consequences have dramatically reduced travel and demand for hotel rooms, which has and will continue to impact our business, operations, and financial results. We believe that it will be some time before lodging demand and revenue levels recover and such recovery could vary across markets or regions around the world. The extent to which COVID-19 impacts our business, operations, and financial results, including the duration and magnitude of such effects, will depend on numerous evolving factors that we may not be able to accurately predict or assess, including the duration and scope of COVID-19 (including the location and extent of resurgences of the virus and the availability of effective treatments or vaccines); the negative impact COVID-19 has on global and regional economies and economic activity, including the duration and magnitude of its impact on unemployment rates and consumer discretionary spending; its short and longer-term impact on the demand for travel, transient and group business; and levels of consumer confidence. |
OCCUPANCY TAX LIABILITY REVERSA
OCCUPANCY TAX LIABILITY REVERSAL | 12 Months Ended |
Jan. 31, 2022 | |
Occupancy Tax Liability Reversal | |
OCCUPANCY TAX LIABILITY REVERSAL | 25. OCCUPANCY TAX LIABILITY REVERSAL Sales and occupancy tax expenses decreased approximately $ 1,642,000 798,000 844,000 No additional assessments have transpired since September 2020. Management has assessed the materiality of the discrepancy on prior reported periods and has concluded it is qualitatively immaterial to the readers of our Consolidated Financial Statements. |
EMPLOYEE RETENTION TAX CREDIT
EMPLOYEE RETENTION TAX CREDIT | 12 Months Ended |
Jan. 31, 2022 | |
Employee Retention Tax Credit | |
EMPLOYEE RETENTION TAX CREDIT | 26. EMPLOYEE RETENTION TAX CREDIT The Trust has become aware of Economic Relief through a Credit allowed for Entities that suffered financial hardship during the Covid-19 Pandemic, under the CARES (The Coronavirus Aid, Relief, and Economic Security) Act (2020), and The Consolidated Appropriations Act (2021). Both provided fast and direct economic assistance for American workers, families, small businesses, and industries, by the U.S. Department of the Treasury along with Congress. This Credit was available for all Entities impacted by the Virus and who paid Employment Taxes, while trying to remain solvent and viable. It is a fully refundable tax credit for Eligible Employers that paid employees to carry on a trade or business that was partially or fully suspended during any calendar year 2020; or that experienced significant decline in gross receipts during any calendar quarter in 2020, due to COVID-19. As a result of both legislative acts, the Trust will be receiving approximately $ 2.9 the Trust has conservatively placed an amount equal to 12% of this total as a Tax Credit Receivable and Tax Refund on the Balance Sheet and Income statement, respectively |
DISSOLUTION OF INNSUITES HOTELS
DISSOLUTION OF INNSUITES HOTELS INC | 12 Months Ended |
Jan. 31, 2022 | |
Discontinued Operations and Disposal Groups [Abstract] | |
DISSOLUTION OF INNSUITES HOTELS INC | 27. DISSOLUTION OF INNSUITES HOTELS INC InnSuites Hotels, Inc. (RHL), previously provided management of the hotels, including the daily operations of both Trust Hotels, until the end of the prior Fiscal Year, ended January 31, 2021. Unfortunately this entity was a Covid related casualty and ceased operations. There was a minimal income stream with extensive debt and operating expenses associated with it. This entity was consequently dissolved, and did not participate in any of the Management functions for the most recent Fiscal Year ended January 31, 2022. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Jan. 31, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 28. SUBSEQUENT EVENTS Subsequent to the Fiscal Year ended January 31, 2022 the Trust repurchased 201,676 211,000 On March 30, 2020 Tucson Hospitality Properties LLLP , 51 8.4 refinance it’s relatively low $ 4.4 million first position debt along with $ 3.8 million in inter-company advances used to complete the Best Western product improvement plan PIP refurbishment of the Hotel at a lower blended interest rate of 4.99% financed on a 25 year amortization with no prepayment penalty and no balloon. RRF LP repaid prior advances in full to its parent InnSuites Hospitality Trust (IHT), and InnSuites Hospitality Trust (IHT) repaid prior advances in full to affiliate Rare Earth Financial. Hotel Operation results of the Albuquerque Hotel and the Tucson Hotel both achieved record results for the combined months of February and March 2022. Tucson hotel total revenues were $ 998,740 457,943 532,958 357,858 508,373 185,806 133,551 107,771 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Jan. 31, 2022 | |
Accounting Policies [Abstract] | |
USE OF ESTIMATES | USE OF ESTIMATES The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the audited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Trust’s operations are affected by numerous factors, including the economy, virus/pandemic, competition in the hotel industry and the effect of the economy on the travel and hospitality industries. The Trust cannot predict if any of the above items will have a significant impact in the future, nor can it predict what impact, if any, the occurrence of these or other events might have on the Trust’s operations and cash flows. Significant estimates and assumptions made by management include, but are not limited to, the estimated useful lives of long-lived assets and recoverability of long-lived assets and the fair values of the long-lived assets. |
PROPERTY AND EQUIPMENT | PROPERTY AND EQUIPMENT Furniture, fixtures, building and improvements and hotel properties are stated at cost, except for land, and depreciated using the straight-line method over estimated lives ranging up to 40 3 10 Land is an indefinite-lived asset. The Trust tests its land for impairment annually, or whenever events or changes in circumstances indicates an impairment may have occurred, by comparing its carrying value to its implied fair value. For tax purposes the Trust takes advantage of accelerated depreciation methods (MACRS) for new capital additions and improvements to its Hotels. Management applies guidance ASC 360-10-35, to determine when it is required to test an asset for recoverability of its carrying value and whether, or not, an impairment exists. Under ASC 360-10-35, the Trust is required to test a long-lived asset for impairment when there is an indicator of impairment. Impairment indicators may include, but are not limited to, a drop in the performance of a long-lived asset, a decline in the hospitality industry or a decline in the economy. If an indicator of potential impairment is present, then an assessment is performed of whether the carrying amount of an asset exceeds its estimated undiscounted future cash flows over its estimated remaining life. If the estimated undiscounted future cash flows over the asset’s estimated remaining life are greater than the asset’s carrying value, no impairment is recognized; however, if the carrying value of the asset exceeds the estimated undiscounted future cash flows, then the Trust would recognize an impairment expense to the extent the asset’s carrying value exceeds its fair value, if any. The estimated future cash flows are based upon, among other things, assumptions about expected future operating performance, and may differ from actual cash flows. Long-lived assets evaluated for impairment are analyzed on a property-specific basis independent of the cash flows of other groups of assets. Evaluation of future cash flows is based on historical experience and other factors, including certain economic conditions, and committed future bookings. Management has determined no impairment for the Fiscal Years ended January 31, 2022, and January 31, 2021, respectively. |
CASH | CASH The Trust believes it places its cash only with high credit quality financial institutions, although these balances periodically exceed federally insured limits. |
COST METHOD INVESTMENT IN PRIVATE COMPANY STOCK | COST METHOD INVESTMENT IN PRIVATE COMPANY STOCK Investment in private company stock consists of equity securities recorded at fair value. Fair value is defined as the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date. We analyze our marketable securities in accordance with Accounting Standard Codification 321 (“ASC 321”). Valuations for private company stock are based on quoted prices for identical assets in active markets. Where marketable securities were found not be part of an actively traded market, we made a measurement alternative election and estimate the fair value at cost of the investment minus impairment. As of January 31, 2022, the Trust owned 60,000 60,000 |
REVENUE RECOGNITION | REVENUE RECOGNITION Hotel and Operations Revenues are primarily derived from the sources below and are recognized as services are rendered and when collectability is reasonably assured. Amounts received in advance of revenue recognition are considered deferred liabilities and are generally not significant. Revenues primarily consist of room rentals, food and beverage sales, management and trademark fees and other miscellaneous revenues from our properties. Revenues are recorded when rooms are occupied and when food and beverage sales are delivered. Each room night consumed by a guest with a cancellable reservation represents a contract whereby the Trust has a performance obligation to provide the room night at an agreed upon price. For cancellable reservations, the Trust recognizes revenue as each performance obligation (i.e., each room night) is met. Such contract is renewed if the guest continues their stay. For room nights consumed by a guest with a non-cancellable reservation, the entire reservation period represents the contract term whereby the Trust has a performance obligation to provide the room night or nights at an agreed upon price. For non-cancellable reservations, the Trust recognizes revenue over the term of the performance period (i.e., the reservation period) as room nights are consumed. For these reservations, the room rate is typically fixed over the reservation period. The Trust uses an output method based on performance completed to date (i.e., room nights consumed) to determine the amount of revenue it recognizes on a daily basis if the length of a non-cancellable reservation exceeds one night since consumption of room nights indicates when services are transferred to the guest. In certain instances, variable consideration may exist with respect to the transaction price, such as discounts, coupons and price concessions made upon guest checkout. In evaluating its performance obligation, the Trust bundles the obligation to provide the guest the room itself with other obligations (such as free Wi-Fi, grab and go breakfast, access to on-site laundry facilities and parking), as the other obligations are not distinct and separable because the guest cannot benefit from the additional amenities without the consumed room night. The Trust’s obligation to provide the additional items or services is not separately identifiable from the fundamental contractual obligation (i.e., providing the room and its contents). The Trust has no performance obligations once a guest’s stay is complete. We are required to collect certain taxes and fees from customers on behalf of government agencies and remit these back to the applicable governmental agencies on a periodic basis. We have a legal obligation to act as a collection agent. We do not retain these taxes and fees and, therefore, they are not included in revenues. We record a liability when the amounts are collected and relieve the liability when payments are made to the applicable taxing authority or other appropriate governmental agency. |
ACCOUNTS RECEIVABLES AND ALLOWANCE FOR DOUBTFUL ACCOUNTS | ACCOUNTS RECEIVABLES AND ALLOWANCE FOR DOUBTFUL ACCOUNTS Accounts receivable are carried at original amounts billed less an estimate made for doubtful accounts based on a review of outstanding amounts on a quarterly basis (net realizable value). Management generally records an allowance for doubtful accounts for 50 % of balances over 90 days and 100 % of balances over 120 days. Accounts receivable are written off when collection efforts have been exhausted and they are deemed uncollectible. Recoveries, if any, of receivables previously written off are recorded when received. The Trust does not charge interest on accounts receivable balances and these receivables are unsecured. There is $ 0 |
INCOME TAX RECEIVABLE | INCOME TAX RECEIVABLE The Trust amended its corporate tax returns for the year ended January 31, 2019. Such amendments resulted in a refund of approximately $ 294,000 175,000 120,000 52,000 68,000 |
LEASE ACCOUNTING | LEASE ACCOUNTING The Trust determines, at the inception of a contract, if the arrangement is a lease and whether it meets the classification criteria for a finance or operating lease. ROU assets represent the Trust’s right to use an underlying asset during the lease term and lease liabilities represent the Trust’s obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at commencement date based on the present value of fixed lease payments over the lease term. ROU assets also include any advance lease payments and exclude lease incentives. As most of the Trust’s operating leases do not provide an implicit rate, the Trust uses its incremental borrowing rate based on information available at commencement date in determining the present value of lease payments. Finance lease agreements generally include an interest rate that is used to determine the present value of future lease payments. Operating fixed lease expense and finance lease depreciation expense are recognized on a straight-line basis over the lease term (see Note 16). |
TRUSTEE STOCK-BASED COMPENSATION | TRUSTEE STOCK-BASED COMPENSATION The Trust has an employee equity incentive plan, which is described further fully in Note 23 - “Share-Based Payments.” The three independent members of the Board of Trustees earn 16,000 IHT Shares per year. The Trust has paid the annual fees due to its Trustees by issuing Shares of Beneficial Interest out of its authorized but unissued Shares. Upon issuance, the Trust recognizes the shares as outstanding. The Trust recognizes expense related to the issuance based on the fair value of the shares upon the date of the restricted share grant and amortizes the expense equally over the period during which the shares vest to the Trustees. In addition, 3,000 2,000 The following table summarizes restricted share activity during Fiscal Years 2021 and 2022. SUMMARIZES OF RESTRICTED SHARE ACTIVITY Restricted Shares Shares Price on date of grant Balance at January 31, 2020 - - Granted 18,000 $ 1.60 Vested (18,000 ) $ 1.60 Forfeited - Balance of unvested awards at January 31, 2021 - Granted 63,000 $ 2.97 Vested (63,000 ) $ 2.97 Balance of unvested awards at January 31, 2022 - - |
TREASURY STOCK | TREASURY STOCK Treasury stock is carried at cost, including any brokerage commissions paid to repurchase the shares. Any shares issued from treasury stock are removed at cost, with the difference between cost and fair value at the time of issuance recorded against Shares of Beneficial Interest. During the three month period ended October 31, 2021, the Trust retired 9,613,138 13,936,972 |
INCOME TAXES | INCOME TAXES The Trust is subject to federal and state corporate income taxes, and accounts for deferred taxes utilizing an asset and liability method whereby deferred tax assets are recognized for deductible temporary differences and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax bases. Deferred tax assets are reduced by a valuation allowance when it is determined to be more likely than not that some portion, or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment (see Note 18). |
DIVIDENDS AND DISTRIBUTIONS | DIVIDENDS AND DISTRIBUTIONS In Fiscal Years 2022 and 2021, the Trust paid a semi-annual dividend of $ 0.01 0.02 186,492 191,848 |
NET INCOME/(LOSS) PER SHARE | NET INCOME/(LOSS) PER SHARE Basic and diluted net income/(loss) per Share of Beneficial Interest is computed based on the weighted-average number of Shares of Beneficial Interest and potentially dilutive securities outstanding during the period. Dilutive securities are limited to the Class A and Class B units of the Partnership, which are convertible into 3,174,041 For the years ended January 31, 2022 and 2021, there were Class A and Class B Partnership units outstanding, which are convertible into Shares of Beneficial Interest of the Trust. Assuming conversion at the beginning of each period, the aggregate weighted-average of these Shares of Beneficial Interest would have been 3,174,041 |
SEGMENT REPORTING | SEGMENT REPORTING As a result of the sale of IBC (see Note 6), the Chief Operating Decision Maker (“CODM”), Mr. Wirth, CEO of the Trust, has determined that the Trust operations are comprised of one reportable segment, Hotel Operations & Hotel Management Services (continuing operations) segment that has ownership interest in two hotel properties with an aggregate of 270 suites in Arizona and New Mexico. The Trust has chosen to focus its hotel investments on the southwest region of the United States. The CODM does not review assets by geographical region; therefore, no income statement or balance sheet information by geographical region is provided. |
ADVERTISING COSTS | ADVERTISING COSTS Amounts incurred for advertising costs are expensed as incurred. Advertising expense totaled approximately $ 252,000 191,000 |
CONCENTRATION OF CREDIT RISK | CONCENTRATION OF CREDIT RISK Credit risk is the risk of an unexpected loss if a third party to a financial instrument fails to meet its contractual obligations. Financial instruments that potentially subject the Trust to a concentration of credit risk consist primarily of cash and cash equivalents. Management’s assessment of the Trust’s credit risk for cash and cash equivalents is low as cash and cash equivalents are held in financial institutions believed to be credit worthy. The Trust limits its exposure to credit loss by placing its cash with various major financial institutions and invests only in short-term obligations. While the Trust is exposed to credit losses due to the non-performance of its counterparties, the Trust considers the risk of this remote. The Trust estimates its maximum credit risk for accounts receivable at the amount recorded on the balance sheet. |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE OF FINANCIAL INSTRUMENTS For disclosure purposes, fair value is determined by using available market information and appropriate valuation methodologies. Fair value is defined as the price that would be received from the sale of an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants in the principal or most advantageous market for the asset or liability. The fair value framework specifies a hierarchy of valuation techniques, which is based on whether the inputs into the valuation technique are observable or unobservable. The fair value hierarchy levels are as follows: ● Level 1 – Valuation techniques in which all significant inputs are unadjusted quoted prices from active markets for assets or liabilities that are identical to the assets or liabilities being measured. ● Level 2 – Valuation techniques in which significant inputs include quoted prices from active markets for assets or liabilities that are similar to the assets or liabilities being measured and / or quoted prices for assets or liabilities that are identical or similar to the assets or liabilities being measured from markets that are not active. Also, model-derived valuations in which all significant inputs and significant value drivers are observable in active markets are level 2 valuation techniques. ● Level 3 – Valuation techniques in which one or more significant inputs or significant value drivers are unobservable. Unobservable inputs are valuation technique inputs that reflect a company’s own judgments about the assumptions that market participants would use in pricing an asset or liability. The Trust has assets that are carried at fair value on a recurring basis, including stock and warrants in a 3 rd Due to their short maturities, the carrying value of cash and cash equivalents, accounts receivable, accounts payable and accrued expenses approximate fair value. The fair value of mortgage notes payable, notes payable to banks and notes and advances payable to related parties is estimated by using the current rates which would be available for similar loans having the same remaining maturities and are based on level 3 inputs. |
NATURE OF OPERATIONS AND BASI_2
NATURE OF OPERATIONS AND BASIS OF PRESENTATION (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
SCHEDULE OF ENTITY OWNERSHIP PERCENTAGE | SCHEDULE OF ENTITY OWNERSHIP PERCENTAGE IHT OWNERSHIP % ENTITY DIRECT INDIRECT (i) Albuquerque Suite Hospitality, LLC 21.00 % - Tucson Hospitality Properties, LLLP - 51.01 % RRF Limited Partnership 75.98 % - (i) Indirect ownership is through the Partnership (i) Tucson Indirect ownership is through the Partnership |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Accounting Policies [Abstract] | |
SUMMARIZES OF RESTRICTED SHARE ACTIVITY | The following table summarizes restricted share activity during Fiscal Years 2021 and 2022. SUMMARIZES OF RESTRICTED SHARE ACTIVITY Restricted Shares Shares Price on date of grant Balance at January 31, 2020 - - Granted 18,000 $ 1.60 Vested (18,000 ) $ 1.60 Forfeited - Balance of unvested awards at January 31, 2021 - Granted 63,000 $ 2.97 Vested (63,000 ) $ 2.97 Balance of unvested awards at January 31, 2022 - - |
VARIABLE INTEREST ENTITIES (Tab
VARIABLE INTEREST ENTITIES (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
SCHEDULE OF VARIABLE INTEREST ENTITIES | SCHEDULE OF VARIABLE INTEREST ENTITIES January 31, 2022 2021 Assets Cash $ 419,762 $ 81,652 Accounts Receivable 29,985 11,231 Prepaid Expenses and Deposits 9,869 24,032 Hotel Properties, Net 1,181,154 1,394,528 Operating Lease -Right of Use 2,021,354 2,053,709 Total Assets $ 3,662,124 $ 3,565,152 Liabilities Accounts Payable and Accrued Expenses $ 567,190 $ 894,517 Other Notes Payable - 187,685 Operating Lease Liability (ASC 842) 2,275,092 2,276,820 Mortgage Notes Payable 1,296,019 1,354,704 Total Liabilities $ 4,138,301 $ 4,713,726 Equity (476,177 ) (1,148,574 ) Liabilities & Equity $ 3,662,124 $ 3,565,152 |
NOTES RECEIVABLE (Tables)
NOTES RECEIVABLE (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Notes Receivable | |
SCHEDULE OF FUTURE PAYMENTS OF DEBT | SCHEDULE OF FUTURE PAYMENTS OF DEBT FISCAL YEAR 2023 $ 250,000 2024 1,675,000 Total $ 1,925,000 |
CONVERTIBLE NOTE RECEIVABLE, _2
CONVERTIBLE NOTE RECEIVABLE, COMMON STOCK AND WARRANTS IN UNIGEN POWER, INC. (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Convertible Note Receivable Common Stock And Warrants In Unigen Power Inc. | |
SCHEDULE OF WARRANTS VALUATION ASSUMPTIONS | The value of the warrants issued with the note receivable was based on Black-Scholes pricing model based on the following inputs: SCHEDULE OF WARRANTS VALUATION ASSUMPTIONS Debenture Warrants Type of option Call option Stock price $ 2.25 Exercise (Strike) price $ 1.00 Time to maturity (years) 2.0 Annualized risk-free rate 1.630 % Annualized volatility 27.43 % Additional Warrants Type of option Call option Stock price $ 2.25 Exercise (Strike) price $ 2.25 Time to maturity (years) 3.0 Annualized risk-free rate 1.630 % Annualized volatility 27.43 % |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
SCHEDULE OF PROPERTY AND EQUIPMENT | As of January 31, 2022 and January 31, 2021, hotel properties consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT HOTEL PP&E January 31, 2022 January 31, 2021 Land $ 2,500,000 $ 2,500,000 Building and improvements 10,577,297 10,531,947 Furniture, fixtures and equipment 4,114,400 4,058,681 Total hotel properties 17,191,697 17,090,628 Total property, plant and equipment 17,191,697 17,090,628 Less accumulated depreciation (9,664,472 ) (8,961,498 ) Hotel properties, net 7,527,225 8,129,130 Property, Plant and Equipment, net $ 7,527,225 $ 8,129,130 As of January 31, 2022 and January 31, 2021, property and equipment consisted of the following: CORPORATE PP&E January 31, 2022 January 31, 2021 Land $ 7,005 $ 7,005 Building and improvements 75,662 75,662 Furniture, fixtures and equipment 392,879 540,014 Total property, plant and equipment 475,546 622,681 Less accumulated depreciation (423,458 ) (561,961 ) Property, Plant and Equipment, net $ 52,088 $ 60,720 |
PREPAID EXPENSES AND OTHER CU_2
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
SCHEDULE OF PREPAID EXPENSES AND OTHER CURRENT ASSETS | Prepaid expenses and other current assets are carried at historical cost and are expected to be consumed within one year. As of January 31, 2022, and 2021, prepaid expenses and other current assets consisted of the following: SCHEDULE OF PREPAID EXPENSES AND OTHER CURRENT ASSETS January 31, 2022 January 31, 2021 Tax and Insurance Escrow $ 63,512 $ 60,522 Deposits 7,000 5,000 Prepaid Insurance - 24,515 Prepaid Workman’s Compensation - 12,124 Miscellaneous Prepaid Expenses 47,356 66,731 Total Prepaid Expenses and Current Assets $ 117,868 $ 168,892 |
ACCOUNTS PAYABLE AND ACCRUED _2
ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Payables and Accruals [Abstract] | |
SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES | As of January 31, 2022 and 2020, accounts payable and accrued expenses consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES January 31, 2022 January 31, 2021 Accounts Payable $ 203,165 $ 136,648 Accrued Salaries and Wages 246,600 148,576 Accrued Vacation 10,000 11,687 Income Tax Payable 93,944 93,944 Accrued Interest Payable 14,950 17,482 Advanced Deposits 250 19,371 Accrued Property Taxes 35,392 74,486 Sales Tax Payable 154,079 1,088,726 Accrued Other 142,989 262,682 Total Accounts Payable and Accrued Expenses $ 901,369 $ 1,853,602 |
MORTGAGE NOTES PAYABLE (Tables)
MORTGAGE NOTES PAYABLE (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Debt Disclosure [Abstract] | |
SCHEDULE OF MORTGAGE NOTES PAYABLE | The following table summarizes the Trust’s mortgage notes payable, net of debt discounts, as of January 31, 2022: SCHEDULE OF MORTGAGE NOTES PAYABLE 2022 2021 Mortgage note payable, due in monthly installments of $ 28,493 4.69 6.3 $ 4,461,283 $ 4,582,880 Mortgage note payable, due in monthly installments of $ 9,218 4.90 1.2 1,296,019 1,354,704 Totals: $ 5,757,302 $ 5,937,584 |
MINIMUM DEBT PAYMENTS (Tables)
MINIMUM DEBT PAYMENTS (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Debt Disclosure [Abstract] | |
SCHEDULED OF MINIMUM PAYMENTS OF DEBT | Scheduled minimum payments of debt, net of debt discounts, as of January 31, 2022 are approximately as follows in the respective Fiscal Years indicated: SCHEDULED OF MINIMUM PAYMENTS OF DEBT FISCAL YEAR MORTGAGES OTHER NOTES PAYABLE NOTES PAYABLE - RELATED PARTY TOTAL 2023 174,956 571,187 - 746,143 2024 217,255 - 977,547 1,194,802 2025 190,932 - - 190,932 2026 201,594 - - 201,594 2027 212,034 - - 212,034 Thereafter 4,760,531 - 4,760,531 $ 5,757,302 $ 571,187 $ 977,547 $ 7,306,036 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Lessee, Lease, Description [Line Items] | |
SCHEDULE OF LEASE COSTS | The Trust’s Operating Lease costs recognized in the consolidated statement of operations for the year ended January 31, 2022 consist of the following: SCHEDULE OF LEASE COSTS Fiscal Year Ended January 31, 2022 Operating Lease Costs: Operating lease cost* 169,322 |
SCHEDULE OF CASH FLOW INFORMATION | Supplemental cash flow information is as follows: SCHEDULE OF CASH FLOW INFORMATION Fiscal Year Ended January 31, 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 28,171 Lease obligations: Operating leases, net $ 2,310,745 Long-term obligations $ 2,273,278 |
SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERMS AND DISCOUNT RATES | Weighted average remaining lease terms and discount rates were as follows: SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERMS AND DISCOUNT RATES Weighted average remaining lease term (years) January 31, 2022 Operating leases 36 Weighted average discount rate 4.85 % Operating leases |
SCHEDULE OF ANNUAL LEASE OBLIGATIONS | The aggregate annual lease obligations at January 31, 2022 are as follows: SCHEDULE OF ANNUAL LEASE OBLIGATIONS Fiscal Year Operating Leases Finance Leases 2023 $ 148,348 $ 31,123 2024 112,116 23,343 2025 112,116 2026 112,116 2027 112,116 Thereafter 4,927,079 Total Undiscounted Lease Obligations 5,523,891 54,466 Less Imputed Interest 3,213,146 29,240 Net Lease Obligations $ 2,310,745 $ 25,226 |
Finance Leases [Member] | |
Lessee, Lease, Description [Line Items] | |
SCHEDULE OF LEASE COSTS | The Trust’s Finance Lease costs recognized in the Consolidated Statement of Income for the Fiscal Year ended January 31, 2022 consist of the following: SCHEDULE OF LEASE COSTS Fiscal Year Ended January 31, 2022 Finance Lease Costs: Amortization of right-of-use assets $ 20,812 Interest on lease obligations 2,576 |
SCHEDULE OF CASH FLOW INFORMATION | Supplemental cash flow information is as follows: SCHEDULE OF CASH FLOW INFORMATION Fiscal Year Ended January 31, 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ (109 ) Lease obligations: Finance leases, net $ 52,118 Long-term obligations $ 22,878 |
SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERMS AND DISCOUNT RATES | Weighted average remaining lease terms and discount rates were as follows: SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERMS AND DISCOUNT RATES Weighted average remaining lease term (years) January 31, 2022 Finance leases 2 Weighted average discount rate 4.85 % Finance leases |
SCHEDULE OF FUTURE LEASE PAYMENTS FOR FINANCE LEASE LIABILITY | The aggregate future lease payments for Finance Lease Liability as of January 31, 2022 are as follows: SCHEDULE OF FUTURE LEASE PAYMENTS FOR FINANCE LEASE LIABILITY For the Years Ending January 31, 2023 31,123 2024 23,343 Total minimum lease payments $ 54,466 Less: amount representing interest 2,348 Total present value of minimum payments 52,118 Less: current portion $ 29,240 Long term portion of finance lease liability 22,878 |
FEDERAL INCOME TAXES (Tables)
FEDERAL INCOME TAXES (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES | Total and net deferred income tax assets on January 31, SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES 2022 2021 Net operating loss carryforwards $ 1,352,000 $ 1,352,000 Bad debt allowance - 2,000 Accrued expenses (2,000 ) (2,000 ) Syndications 2,923,000 2,923,000 Prepaid insurance - (4,000 ) Alternative minimum tax credit 51,000 51,000 Total differed tax asset 4,324,000 4,322,000 Deferred income tax liability associated with book/tax (1,396,860 ) (1,502,000 ) Net deferred income tax asset 2,927,140 2,820,000 Valuation Allowance (2,927,140 ) (2,820,000 ) Net deferred income tax - - |
SCHEDULE OF INCOME TAX PROVISION | Income taxes for the year ended January 31, SCHEDULE OF INCOME TAX PROVISION 2022 2021 Current income tax benefit (50 ) (68,661 ) Deferred income tax provision 321,306 321,306 Change in valuation allowance (321,306 ) (321,306 ) Net income tax benefit (50 ) (68,661 ) |
SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION | The differences between the statutory and effective tax rates are as follows for the year ended January 31, 2022: SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION 2022 Amount Percent Federal statutory rates $ 53,370 - 4 % State income taxes 13,254 - 1 % Change in valuation allowance (80,100 ) 5 % True-up in prior year returns - 0 % Effective Rate - 1 % The differences between the statutory and effective tax rates are as follows for the year ended January 31, 2021: 2021 Amount Percent Federal statutory rates $ (309,200 ) 21 % State income taxes (77,000 ) 5 % Change in valuation allowance 321,300 -22 % True-up in prior year returns (4,000 ) 0 % Effective Rate - 5 % |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
SCHEDULE OF FAIR VALUE LIABILITIES MEASURED ON RECURRING BASIS | The following table presents the estimated fair values of the Trust’s debt instruments, based on rates currently available to the Trust for bank loans with similar terms and average maturities, and the associated carrying value recognized in the consolidated balance sheets at January 31, 2022 and 2020: SCHEDULE OF FAIR VALUE LIABILITIES MEASURED ON RECURRING BASIS 2022 2021 Carrying Amount Fair Value Carrying Amount Fair Value Mortgage Notes Payable $ 5,757,302 $ 3,408,024 $ 5,937,584 $ 3,677,645 Other Notes Payable $ 571,187 $ 571,187 $ 1,048,093 $ 1,048,093 Notes Payable - Related Party $ 977,547 $ 977,547 $ - $ - |
SUPPLEMENTAL CASH FLOW DISCLO_2
SUPPLEMENTAL CASH FLOW DISCLOSURES (Tables) | 12 Months Ended |
Jan. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
SCHEDULE OF SUPPLEMENTAL CASH FLOWS DISCLOSURES | SCHEDULE OF SUPPLEMENTAL CASH FLOWS DISCLOSURES 2022 2021 Cash Paid for Interest $ 374,000 $ 412,000 Notes Payable $ 10,000 $ 10,000 |
SCHEDULE OF ENTITY OWNERSHIP PE
SCHEDULE OF ENTITY OWNERSHIP PERCENTAGE (Details) | Jan. 31, 2022 | Jan. 31, 2021 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | 75.98% | 75.89% | |
Albuquerque Suite Hospitality, LLC [Member] | Direct Ownership [Member] | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | 21.00% | 21.00% | |
Albuquerque Suite Hospitality, LLC [Member] | Indirect Ownership [Member] | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | [1],[2] | ||
Tucson Hospitality Properties, LLLP [Member] | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | 48.61% | ||
Tucson Hospitality Properties, LLLP [Member] | Direct Ownership [Member] | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | |||
Tucson Hospitality Properties, LLLP [Member] | Indirect Ownership [Member] | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | [1],[2] | 51.01% | |
RRF Limited Partnership [Member] | Direct Ownership [Member] | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | 75.98% | ||
InnSuites Hotels Inc. [Member] | Indirect Ownership [Member] | |||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
IHT OWNERSHIP % | [1],[2] | ||
[1] | Indirect ownership is through the Partnership | ||
[2] | Tucson Indirect ownership is through the Partnership |
NATURE OF OPERATIONS AND BASI_3
NATURE OF OPERATIONS AND BASIS OF PRESENTATION (Details Narrative) - USD ($) | 12 Months Ended | |||
Jan. 31, 2022 | Jan. 31, 2021 | Jul. 27, 2021 | Feb. 01, 2021 | |
Debt instrument interest rate | 7.00% | |||
Noncontrolling interest description | As of January 31, 2022, non-controlling interest represented 48.99% interest in the InnSuites® hotel located in Tucson, Arizona, 79.00% interest in the InnSuites® hotel located in Albuquerque, New Mexico, and 24.02% in the Partnership. | |||
Total diluted shares | 12,253,554 | |||
Amount payable | $ 977,547 | $ 1,595,000 | ||
Cash | 1,224,000 | |||
Related Party Demand/Revolving Line of Credit/Promissory Note [Member] | ||||
Line of credit limit | $ 2,000,000 | |||
IHT [Member] | ||||
partnership Interest shares | 9,079,513 | |||
RRF Limited Partnership [Member] | ||||
partnership Interest shares | 3,174,041 | |||
RRF [Member] | ||||
Limited partners capital account units outstanding benefits | 3,691 | |||
Limited partners capital account, units sold | 8,014 | |||
IHT [Member] | ||||
Limited partners capital account units outstanding benefits | 3,691 | |||
Trust [Member] | ||||
Amount payable | $ 977,000 | |||
Line of credit amount | 250,000 | |||
Trust [Member] | Related Party Demand/Revolving Line of Credit/Promissory Note [Member] | ||||
Line of credit limit | 2,000,000 | |||
Republic Bank of Arizona [Member] | ||||
Line of credit remaining borrowing capacity | 0 | |||
Line of credit amount | $ 250,000 | |||
Class A Partnership Units [Member] | ||||
Limited partners capital account units outstanding benefits | 200,003 | 211,708 | ||
Class B Partnership Units [Member] | James Wirth [Member] | ||||
Limited partners capital account units outstanding benefits | 2,974,038 | 2,974,038 | ||
General Partner Units [Member] | ||||
partnership Interest shares | 10,037,476 | 10,025,771 | ||
Innsuites Hotel Located in Tucson [Member] | ||||
Partnership interest units percentage | 51.01% | |||
Innsuites Hotel Located in Albuquerque New Mexico [Member] | ||||
Partnership interest units percentage | 21.00% | |||
Class A Partnership Units [Member] | ||||
Partnership interest units percentage | 1.51% | 1.60% | ||
Class B Partnership Units [Member] | ||||
Partnership interest units percentage | 22.51% | 22.51% | ||
General Partner Units [Member] | ||||
Partnership interest units percentage | 75.98% | 75.89% | ||
Limited Partner [Member] | ||||
partnership Interest shares | 3,174,041 | 3,185,746 | ||
UniGen Power Inc. [Member] | ||||
Convertible debenture | $ 1,000,000 | |||
Debt instrument interest rate | 6.00% | |||
Privately-held common stock | $ 273,000 | |||
RRF Limited Partnership [Member] | Weighted Average [Member] | ||||
Percentage of ownership interest held by the trust | 75.93% | |||
RRF Limited Partnership [Member] | General Partner [Member] | ||||
Percentage of ownership interest held by the trust | 75.98% | 75.89% |
SUMMARIZES OF RESTRICTED SHARE
SUMMARIZES OF RESTRICTED SHARE ACTIVITY (Details) - Restricted Stock [Member] - $ / shares | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Restricted Shares Balance of Unvested Awards Ending | ||
Restricted Shares, Granted | 63,000 | 18,000 |
Weighted-Average Per Share Grant Date Fair Value Granted | $ 2.97 | $ 1.60 |
Restricted Shares, Vested | (63,000) | (18,000) |
Weighted-Average Per Share Grant Date Fair Value Vested | $ 2.97 | $ 1.60 |
Restricted Shares, Forfeited | ||
Restricted Shares Balance of Unvested Awards Ending |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | ||||||
Mar. 31, 2021 | Jan. 31, 2022 | Jan. 31, 2021 | Oct. 31, 2022 | Oct. 31, 2021 | Jul. 31, 2021 | Aug. 31, 2020 | Jan. 31, 2019 | |
Property, Plant and Equipment [Line Items] | ||||||||
Allowance for doubtful accounts | $ 0 | $ 0 | ||||||
Corporate tax returns | $ 52,000 | $ 175,000 | $ 294,000 | |||||
Expected future corporate tax returns | $ 120,000 | |||||||
Proceeds from income tax | $ 68,000 | |||||||
Restricted shares | 60,000 | 60,000 | ||||||
Trust retired shares | 44,076 | 9,568,485 | ||||||
Trust retired value | $ 130,464 | $ 13,936,972 | ||||||
Semi annual dividend per share | $ 0.01 | $ 0.01 | $ 0.02 | $ 0.02 | ||||
Payments of dividends | $ 186,492 | $ 191,848 | ||||||
Weighted Average Limited Partnership Units Outstanding, Diluted | 3,174,041 | |||||||
Weighted average incremental shares resulting from unit conversion | 3,174,041 | 3,174,041 | ||||||
Advertising expense | $ 252,000 | $ 191,000 | ||||||
Treasury Stock [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Trust retired shares | 9,613,138 | |||||||
Trust retired value | $ 13,936,972 | |||||||
Board Of Trustees [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Restricted shares | 16,000 | |||||||
Independent Trustees Three [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Restricted shares | 3,000 | |||||||
Three IHT Employee [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Restricted shares | 2,000 | |||||||
90 days [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Percentage of allowance for doubtful accounts. | 50.00% | |||||||
120 days [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Percentage of allowance for doubtful accounts. | 100.00% | |||||||
UniGen Power Inc. [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Trust owned investment shares | 60,000 | |||||||
Trust owned investment value | $ 60,000 | |||||||
Restricted shares | 75,000 | |||||||
Building and Improvements [Member] | Maximum [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Property, plant and equipment, useful life | 40 years | |||||||
Furniture, Fixtures and Equipment [Member] | Maximum [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Property, plant and equipment, useful life | 10 years | |||||||
Furniture, Fixtures and Equipment [Member] | Minimum [Member] | ||||||||
Property, Plant and Equipment [Line Items] | ||||||||
Property, plant and equipment, useful life | 3 years |
SALE OF OWNERSHIP INTERESTS I_3
SALE OF OWNERSHIP INTERESTS IN ALBUQUERQUE SUBSIDIARY (Details Narrative) - USD ($) | Jun. 19, 2017 | Feb. 15, 2017 | Dec. 09, 2013 | Jul. 22, 2010 | Jan. 31, 2010 | Sep. 15, 2009 | Jan. 05, 2009 | Sep. 10, 2007 | Aug. 18, 2005 | Sep. 10, 2002 | Jan. 02, 2001 | Jan. 31, 2022 | Jan. 31, 2021 | Dec. 31, 2013 | Dec. 31, 2015 |
Percentage of trust held ownership interest | 75.98% | 75.89% | |||||||||||||
Maximum [Member] | |||||||||||||||
Number of units were available for sale | 750,000 | 350,000 | 250,000 | 300,000 | 350,000 | 350,000 | 350,000 | 250,000 | |||||||
Class A [Member] | |||||||||||||||
Number of units sold during period | 250 | ||||||||||||||
Class B [Member] | |||||||||||||||
Number of units sold during period | 200 | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | |||||||||||||||
Sale price per unit | $ 10,000 | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | Class A [Member] | |||||||||||||||
Proceeds from sale of units by subsidiary | $ 20,000 | $ 20,000 | |||||||||||||
Albuquerque [Member] | Class A, Class B and Class C [Member] | Minimum [Member] | |||||||||||||||
Limited liability limited partnership interests | 550 | ||||||||||||||
Albuquerque [Member] | Class A, Class B and Class C [Member] | Maximum [Member] | |||||||||||||||
Limited liability limited partnership interests | 600 | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | |||||||||||||||
Sale price per unit | $ 10,000 | ||||||||||||||
Restructuring fee | $ 128,000 | ||||||||||||||
Number of units sold during period | 100 | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | Class B Limited Partnership Units [Member] | |||||||||||||||
Number of units sold during period | 126 | ||||||||||||||
Percentage of trust held ownership interest | 0.17% | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | Class A Limited Partnership Units [Member] | Other Parties [Member] | |||||||||||||||
Number of units sold during period | 473 | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | Class A Limited Partnership Units [Member] | Other Parties [Member] | |||||||||||||||
Percentage of trust held ownership interest | 78.83% | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | Unit Class [Member] | |||||||||||||||
Return percentage | 50.00% | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | Rare Earth Financial, LLC [Member] | |||||||||||||||
Return percentage | 50.00% | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | Restructuring Agreement [Member] | |||||||||||||||
Sale price per unit | $ 10,000 | ||||||||||||||
Maximum investors to purchase units | 150 | ||||||||||||||
Maximum potentially to overallotment exercised | 190 | ||||||||||||||
Percentage of hold least outstanding units | 50.10% | ||||||||||||||
Cumulative priority distributions per unit per year | $ 700 | ||||||||||||||
Return percentage | 7.00% | ||||||||||||||
Rare Earth [Member] | |||||||||||||||
Restructuring fee | $ 200,000 | ||||||||||||||
Albuquerque Suite Hospitality, LLC [Member] | |||||||||||||||
Percentage of membership interest in a subsidiary committed to purchase by an affiliate | 49.00% | ||||||||||||||
Number of units were available for sale | 400 | ||||||||||||||
Direct Ownership [Member] | Albuquerque Suite Hospitality, LLC [Member] | |||||||||||||||
Percentage of trust held ownership interest | 21.00% | 21.00% |
SALE OF OWNERSHIP INTERESTS I_4
SALE OF OWNERSHIP INTERESTS IN TUCSON HOSPITALITY PROPERTIES SUBSIDIARY (Details Narrative) - USD ($) | Oct. 01, 2013 | Feb. 17, 2011 | Jan. 31, 2022 | Jan. 31, 2021 | Jun. 30, 2016 | |
Percentage of trust held ownership interest | 75.98% | 75.89% | ||||
Tucson Hospitality Properties, LLLP [Member] | ||||||
Percentage of trust held ownership interest | 48.61% | |||||
Tucson Hospitality Properties LP [Member] | ||||||
Return percentage | 7.00% | |||||
Tucson Hospitality Properties LP [Member] | Class B Limited Partnership Units [Member] | ||||||
Number of units sold during period | 404 | |||||
Tucson Hospitality Properties LP [Member] | Class C Limited Partnership Units [Member] | ||||||
Number of units sold during period | 3 | |||||
Tucson Hospitality Properties LP [Member] | Class A Limited Partnership Units [Member] | Other Parties Holders [Member] | ||||||
Number of units sold during period | 385 | |||||
Tucson Hospitality Properties LP [Member] | Unit Class [Member] | ||||||
Return percentage | 50.00% | |||||
Restructuring fee | $ 128,000 | |||||
Tucson Hospitality Properties LP [Member] | Rare Earth Financial, LLC [Member] | ||||||
Sale price per unit | $ 10,000 | |||||
Cumulative priority distributions per unit per year | $ 700 | |||||
Tucson Hospitality Properties LP [Member] | ||||||
Number of units were available for sale | 250 | |||||
Percentage of membership interest in a subsidiary committed to purchase by an affiliate | 41.00% | |||||
Rare Earth Financial, LLC [Member] | Tucson Hospitality Properties LP [Member] | ||||||
Percentage of membership interest in a subsidiary committed to purchase by an affiliate | 50.10% | |||||
Maximum investors to purchase units | 160 | |||||
Maximum potentially to overallotment exercised | 200 | |||||
Return percentage | 50.00% | |||||
Number of units sold during period | 100 | |||||
Indirect Ownership [Member] | Tucson Hospitality Properties, LLLP [Member] | ||||||
Percentage of trust held ownership interest | [1],[2] | 51.01% | ||||
Indirect Ownership [Member] | Tucson Hospitality Properties, LLLP [Member] | Mr Wirth [Member] | ||||||
Percentage of trust held ownership interest | 0.38% | |||||
[1] | Indirect ownership is through the Partnership | |||||
[2] | Tucson Indirect ownership is through the Partnership |
SCHEDULE OF VARIABLE INTEREST E
SCHEDULE OF VARIABLE INTEREST ENTITIES (Details) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Cash | $ 1,224,380 | $ 1,702,755 |
Accounts Receivable | 128,270 | 60,557 |
Prepaid Expenses and Deposits | 117,868 | 168,892 |
Operating Lease -Right of Use | 2,054,377 | 2,141,084 |
Total Assets | 14,702,309 | 15,393,108 |
Accounts Payable and Accrued Expenses | 901,369 | 1,853,602 |
Other Notes Payable | 551,017 | 1,000,877 |
Operating Lease Liability (ASC 842) | 2,310,745 | |
Total Liabilities | 10,570,268 | 12,883,536 |
Equity | 6,468,605 | 6,090,430 |
Liabilities & Equity | 14,702,309 | 15,393,108 |
Variable Interest Entities VIE [Member] | ||
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | ||
Cash | 419,762 | 81,652 |
Accounts Receivable | 29,985 | 11,231 |
Prepaid Expenses and Deposits | 9,869 | 24,032 |
Hotel Properties, Net | 1,181,154 | 1,394,528 |
Operating Lease -Right of Use | 2,021,354 | 2,053,709 |
Total Assets | 3,662,124 | 3,565,152 |
Accounts Payable and Accrued Expenses | 567,190 | 894,517 |
Other Notes Payable | 187,685 | |
Operating Lease Liability (ASC 842) | 2,275,092 | 2,276,820 |
Mortgage Notes Payable | 1,296,019 | 1,354,704 |
Total Liabilities | 4,138,301 | 4,713,726 |
Equity | (476,177) | (1,148,574) |
Liabilities & Equity | $ 3,662,124 | $ 3,565,152 |
SCHEDULE OF FUTURE PAYMENTS OF
SCHEDULE OF FUTURE PAYMENTS OF DEBT (Details) | Jan. 31, 2022USD ($) |
Notes Receivable | |
2023 | $ 250,000 |
2024 | 1,675,000 |
Total | $ 1,925,000 |
NOTES RECEIVABLE (Details Narra
NOTES RECEIVABLE (Details Narrative) - USD ($) | Aug. 15, 2018 | Jan. 31, 2022 | Mar. 30, 2020 |
Debt Instrument, Face Amount | $ 1,296,000 | $ 8,400,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 7.00% | ||
IBC Hotels, LLC [Member] | |||
Debt Instrument, Face Amount | $ 1,925,000 | ||
IBC Hotels, LLC [Member] | Promissory Notes [Member] | |||
Debt Instrument, Interest Rate, Stated Percentage | 375.00% | ||
Debt instrument, description | If after effective date IBC closes an equity transaction with net proceeds to IBC in excess of $2,500,000, IBC/Buyer shall pay or pre-pay to IHT an amount equal to (a) 50% of the net proceeds received by IBC and (b) 50% of the sum of the unpaid balance of the note and accrued interest accrued but unpaid interest thereon, as the date of receipt of the net proceeds by IBC |
SCHEDULE OF WARRANTS VALUATION
SCHEDULE OF WARRANTS VALUATION ASSUMPTIONS (Details) | Jan. 31, 2022$ / shares |
Debenture Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Exercise (Strike) price | $ 1 |
Time to maturity (years) | 2 years |
Additional Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Exercise (Strike) price | $ 2.25 |
Time to maturity (years) | 3 years |
Measurement Input, Share Price [Member] | Debenture Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Annualized volatility | 2.25 |
Measurement Input, Share Price [Member] | Additional Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Annualized volatility | 2.25 |
Measurement Input, Risk Free Interest Rate [Member] | Debenture Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Annualized volatility | 1.630 |
Measurement Input, Risk Free Interest Rate [Member] | Additional Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Annualized volatility | 1.630 |
Measurement Input, Price Volatility [Member] | Debenture Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Annualized volatility | 27.43 |
Measurement Input, Price Volatility [Member] | Additional Warrants [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Annualized volatility | 27.43 |
CONVERTIBLE NOTE RECEIVABLE, _3
CONVERTIBLE NOTE RECEIVABLE, COMMON STOCK AND WARRANTS IN UNIGEN POWER, INC. (Details Narrative) - USD ($) | Dec. 16, 2019 | Jan. 31, 2022 | Jan. 31, 2021 | Feb. 28, 2021 |
Debt instrument, interest rate | 7.00% | |||
Equity ownership, percentage | 75.98% | 75.89% | ||
Investments, fair value | $ 700,000 | $ 273,750 | $ 60,000 | |
Interest income, reinvested | $ 60,000 | $ 60,000 | ||
Warrants, exercise | 60,000 | 60,000 | ||
IHT [Member] | ||||
Investments, fair value | $ 195,000 | |||
Debenture Warrants [Member] | ||||
Debenture warrants, exercise price | $ 1 | |||
Additional Warrants [Member] | ||||
Debenture warrants, exercise price | $ 2.25 | |||
UniGen Power Inc. [Member] | ||||
Debt instrument, interest rate | 6.00% | |||
Debt instrument, conversion rate | $ 1 | |||
Investments | 3,000,000 | 60,000 | 60,000 | |
Line of credit | $ 500,000 | $ 0 | $ 2,600,000 | |
Equity ownership, percentage | 25.00% | |||
Investments, fair value | 1,000,000 | |||
Warrants, exercise | 75,000 | |||
Stock Issued During Period, Value, Other | $ 168,750 | |||
Stock Issued During Period, Shares, Other | 75,000 | |||
UniGen Power Inc. [Member] | Fair Value of Warrants [Member] | ||||
Investments, fair value | $ 300,000 | |||
UniGen Power Inc. [Member] | Options Held [Member] | ||||
Debt convertible, shares issued | 500,000 | |||
Debt instrument, conversion rate | $ 1 | |||
Line of credit | $ 500,000 | |||
UniGen Power Inc. [Member] | Common Class A [Member] | ||||
Equity ownership, percentage | 25.00% | |||
UniGen Power Inc. [Member] | Debenture Warrants [Member] | Common Class A [Member] | ||||
Debt convertible, shares issued | 1,000,000 | |||
Investments | 1,000,000 | |||
Debenture warrants, exercise price | $ 1 | |||
UniGen Power Inc. [Member] | Additional Warrants [Member] | Common Class A [Member] | ||||
Investments | 200,000 | 300,000 | ||
Debenture warrants, exercise price | $ 2.25 | $ 2.25 | ||
UniGen Power Inc. [Member] | Additional Warrant [Member] | ||||
Investments | 300,000 | |||
Debenture warrants, exercise price | $ 2.25 | |||
Convertible Debenture Purchase Agreement [Member] | UniGen Power Inc. [Member] | ||||
Convertible debt, repayments | $ 1,000,000 | |||
Debt instrument, interest rate | 6.00% |
SCHEDULE OF PROPERTY AND EQUIPM
SCHEDULE OF PROPERTY AND EQUIPMENT (Details) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, net | $ 7,579,313 | $ 8,189,850 |
Property, Plant and Equipment, net | 7,579,313 | 8,189,850 |
Hotel Properties [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 17,191,697 | 17,090,628 |
Total property, plant and equipment | 17,191,697 | 17,090,628 |
Less accumulated depreciation | (9,664,472) | (8,961,498) |
Property, Plant and Equipment, net | 7,527,225 | 8,129,130 |
Property, Plant and Equipment, net | 7,527,225 | 8,129,130 |
Hotel Properties [Member] | Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 2,500,000 | 2,500,000 |
Total property, plant and equipment | 2,500,000 | 2,500,000 |
Hotel Properties [Member] | Building and Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 10,577,297 | 10,531,947 |
Total property, plant and equipment | 10,577,297 | 10,531,947 |
Hotel Properties [Member] | Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 4,114,400 | 4,058,681 |
Total property, plant and equipment | 4,114,400 | 4,058,681 |
Property, Plant and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 475,546 | 622,681 |
Total property, plant and equipment | 475,546 | 622,681 |
Less accumulated depreciation | (423,458) | (561,961) |
Property, Plant and Equipment, net | 52,088 | 60,720 |
Property, Plant and Equipment, net | 52,088 | 60,720 |
Property, Plant and Equipment [Member] | Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 7,005 | 7,005 |
Total property, plant and equipment | 7,005 | 7,005 |
Property, Plant and Equipment [Member] | Building and Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 75,662 | 75,662 |
Total property, plant and equipment | 75,662 | 75,662 |
Property, Plant and Equipment [Member] | Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant and equipment | 392,879 | 540,014 |
Total property, plant and equipment | $ 392,879 | $ 540,014 |
SCHEDULE OF PREPAID EXPENSES AN
SCHEDULE OF PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Tax and Insurance Escrow | $ 63,512 | $ 60,522 |
Deposits | 7,000 | 5,000 |
Prepaid Insurance | 24,515 | |
Prepaid Workman’s Compensation | 12,124 | |
Miscellaneous Prepaid Expenses | 47,356 | 66,731 |
Total Prepaid Expenses and Current Assets | $ 117,868 | $ 168,892 |
SCHEDULE OF ACCOUNTS PAYABLE AN
SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Payables and Accruals [Abstract] | ||
Accounts Payable | $ 203,165 | $ 136,648 |
Accrued Salaries and Wages | 246,600 | 148,576 |
Accrued Vacation | 10,000 | 11,687 |
Income Tax Payable | 93,944 | 93,944 |
Accrued Interest Payable | 14,950 | 17,482 |
Advanced Deposits | 250 | 19,371 |
Accrued Property Taxes | 35,392 | 74,486 |
Sales Tax Payable | 154,079 | 1,088,726 |
Accrued Other | 142,989 | 262,682 |
Total Accounts Payable and Accrued Expenses | $ 901,369 | $ 1,853,602 |
SCHEDULE OF MORTGAGE NOTES PAYA
SCHEDULE OF MORTGAGE NOTES PAYABLE (Details) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Totals: | $ 5,757,302 | $ 5,937,584 |
Tucson Oracle Property [Member] | ||
Totals: | 4,461,283 | 4,582,880 |
Albuquerque Property [Member] | ||
Totals: | $ 1,296,019 | $ 1,354,704 |
SCHEDULE OF MORTGAGE NOTES PA_2
SCHEDULE OF MORTGAGE NOTES PAYABLE (Details) (Parenthetical) | 12 Months Ended |
Jan. 31, 2022USD ($) | |
Debt instrument interest rate | 7.00% |
Tucson Oracle Property [Member] | |
Mortgage note payable, monthly payments | $ 28,493 |
Debt instrument interest rate | 4.69% |
Mortgage note payable, carrying value of secured property | $ 6,300,000 |
Albuquerque Property [Member] | |
Mortgage note payable, monthly payments | $ 9,218 |
Debt instrument interest rate | 4.90% |
Mortgage note payable, carrying value of secured property | $ 1,200,000 |
MORTGAGE NOTES PAYABLE (Details
MORTGAGE NOTES PAYABLE (Details Narrative) - USD ($) | Dec. 02, 2019 | Jun. 29, 2017 | Jan. 31, 2022 | Jan. 31, 2021 | Mar. 30, 2020 |
Debt Instrument [Line Items] | |||||
Mortgage notes payable, interest rate | 4.69% | 4.69% | |||
Debt instrument, interest rate | 7.00% | ||||
Mortgage loan, face amount | $ 1,296,000 | $ 8,400,000 | |||
Tucson Oracle Property [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate | 4.69% | ||||
Business Loan Agreement [Member] | Tucson Hospitality Properties, LLLP [Member] | |||||
Debt Instrument [Line Items] | |||||
Mortgage facility, amount | $ 5,000,000 | ||||
Refinancing mortgage facility amount | $ 3,045,000 | ||||
Business Loan Agreement [Member] | Tucson Oracle Property [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, maturity date | Jun. 19, 2042 | ||||
Mortgage loan, face amount | $ 4,461,000 | ||||
Business Loan Agreement [Member] | Tucson Oracle Property [Member] | First Five Year and Thereafter [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate | 4.69% | ||||
Business Loan Agreement [Member] | Tucson Oracle Property [Member] | Prime Rate [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate | 2.00% | ||||
Business Loan Agreement [Member] | Tucson Oracle Property [Member] | Interest Rate Floor [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate | 4.69% | ||||
Business Loan Agreement [Member] | Albuqureque Suites Hospitality, LLC [Member] | |||||
Debt Instrument [Line Items] | |||||
Mortgage facility, amount | $ 1,400,000 | ||||
Debt instrument, maturity date | Dec. 2, 2029 | ||||
Business Loan Agreement [Member] | Albuqureque Suites Hospitality, LLC [Member] | First Five Year and Thereafter [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate | 4.90% | ||||
Business Loan Agreement [Member] | Albuqureque Suites Hospitality, LLC [Member] | Prime Rate [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate | 3.50% | ||||
Business Loan Agreement [Member] | Albuqureque Suites Hospitality, LLC [Member] | Interest Rate Floor [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, interest rate | 4.69% |
NOTES PAYABLE TO BANKS (Details
NOTES PAYABLE TO BANKS (Details Narrative) - Business Loan Agreement [Member] - USD ($) | Oct. 17, 2017 | Jan. 31, 2022 | Jan. 31, 2021 |
Trust [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Revolving line of credit | $ 150,000 | $ 0 | $ 0 |
Line of credit, maturity date | Dec. 31, 2021 | ||
Albuquerque Suite Hospitality, LLC [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Revolving line of credit | $ 50,000 | 0 | 0 |
Line of credit, maturity date | Oct. 31, 2022 | ||
Tucson Hospitality Properties, LLLP [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Revolving line of credit | $ 50,000 | $ 0 | $ 0 |
Line of credit, maturity date | Oct. 31, 2022 |
RELATED PARTY NOTES (Details Na
RELATED PARTY NOTES (Details Narrative) - Rare Earth Financial, LLC [Member] - USD ($) | Dec. 02, 2014 | Jan. 31, 2022 | Jan. 31, 2021 | Dec. 30, 2020 |
Defined Benefit Plan Disclosure [Line Items] | ||||
Line of credit facility maximum borrowing capacity | $ 1,000,000 | $ 2,000,000 | ||
Line of credit facility interest rate during period | 7.00% | |||
Notes payable related parties classified current | $ 977,000 | $ 1,595,000 | ||
Note receivable - related party including accrued interest | $ 261,000 | $ 878,000 |
OTHER NOTES PAYABLE (Details Na
OTHER NOTES PAYABLE (Details Narrative) - USD ($) | Jul. 01, 2019 | Mar. 31, 2021 | Jan. 31, 2022 | Jan. 31, 2021 | Mar. 15, 2021 | Mar. 05, 2021 | Mar. 30, 2020 | Mar. 20, 2017 |
Debt instrument interest rate | 7.00% | |||||||
Debt instrument face amount | $ 1,296,000 | $ 8,400,000 | ||||||
Hayden Loan [Member] | ||||||||
Debt instrument interest rate | 4.50% | |||||||
Debt instrument face amount | 261,000 | |||||||
Debt instrument, description | The loans have been subsequently extended to December 2022 | |||||||
Sweitzer Loans [Member] | ||||||||
Debt instrument interest rate | 4.00% | |||||||
Unsecured debt | 97,000 | $ 100,000 | ||||||
Debt instrument, description | The loans have been subsequently extended to December 2022 | |||||||
Multiple Dates [Member] | Hayden Loan [Member] | ||||||||
Unsecured debt | $ 270,000 | |||||||
Tucson Hotel [Member] | ||||||||
Debt instrument face amount | $ 297,601 | |||||||
Albuquerque Property [Member] | ||||||||
Debt instrument interest rate | 4.90% | |||||||
Albuquerque Hotel [Member] | ||||||||
Debt instrument face amount | $ 253,253 | |||||||
Other Notes Payable [Member] | ||||||||
Notes payable outstanding to unrelated third parties | $ 20,000 | |||||||
Stock repurchased during period, shares | 146,124 | |||||||
Debt instrument interest rate | 7.00% | |||||||
Debt instrument, maturity date description | January 2023 | |||||||
Other Notes Payable [Member] | Individual Lender [Member] | ||||||||
Notes payable outstanding to unrelated third parties | $ 200,000 | |||||||
Debt instrument interest rate | 4.50% | |||||||
Debt instrument face amount | $ 193,000 | |||||||
Paycheck Protection Program CARES Act [Member] | ||||||||
Debt forgiven | $ 87,000 | |||||||
Paycheck Protection Program CARES Act [Member] | Tucson Hospitality Properties LP [Member] | ||||||||
Debt instrument face amount | 229,000 | |||||||
Paycheck Protection Program CARES Act [Member] | Albuquerque Suite Hospitality, LLC [Member] | ||||||||
Debt instrument face amount | 188,000 | |||||||
Paycheck Protection Program CARES Act [Member] | InnSuites Hospitality [Member] | ||||||||
Debt instrument face amount | $ 87,000 | |||||||
Paycheck Protection Program CARES Act [Member] | Albuquerque Property [Member] | ||||||||
Debt forgiven | $ 187,686 | |||||||
PPP Loan [Member] | Tucson Hotel [Member] | ||||||||
Debt forgiven | $ 228,602 |
SCHEDULED OF MINIMUM PAYMENTS O
SCHEDULED OF MINIMUM PAYMENTS OF DEBT (Details) | Jan. 31, 2022USD ($) |
Debt Instrument [Line Items] | |
2023 | $ 746,143 |
2024 | 1,194,802 |
2025 | 190,932 |
2026 | 201,594 |
2027 | 212,034 |
Thereafter | 4,760,531 |
Long term debt | 7,306,036 |
Mortgages [Member] | |
Debt Instrument [Line Items] | |
2023 | 174,956 |
2024 | 217,255 |
2025 | 190,932 |
2026 | 201,594 |
2027 | 212,034 |
Thereafter | 4,760,531 |
Long term debt | 5,757,302 |
Other notes payables [Member] | |
Debt Instrument [Line Items] | |
2023 | 571,187 |
2024 | |
2025 | |
2026 | |
2027 | |
Thereafter | |
Long term debt | 571,187 |
Notes payable related party [Member] | |
Debt Instrument [Line Items] | |
2023 | |
2024 | 977,547 |
2025 | |
2026 | |
2027 | |
Long term debt | $ 977,547 |
SCHEDULE OF LEASE COSTS (Detail
SCHEDULE OF LEASE COSTS (Details) | 12 Months Ended |
Jan. 31, 2022USD ($) | |
Leases | |
Operating lease cost* | $ 169,322 |
Amortization of right-of-use assets | 20,812 |
Interest on lease obligations | $ 2,576 |
SCHEDULE OF CASH FLOW INFORMATI
SCHEDULE OF CASH FLOW INFORMATION (Details) - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Leases | ||
Operating cash flows from operating leases | $ 28,171 | |
Operating leases, net | 2,310,745 | |
Long-term obligations | 2,273,278 | $ 2,310,745 |
Operating cash flows from finance leases | (109) | |
Finance leases, net | 52,118 | |
Long-term obligations | $ 22,878 | $ 52,118 |
SCHEDULE OF WEIGHTED AVERAGE RE
SCHEDULE OF WEIGHTED AVERAGE REMAINING LEASE TERMS AND DISCOUNT RATES (Details) | Jan. 31, 2022 |
Leases | |
Weighted-average remaining lease term (years) - Operating leases | 36 years |
Weighted-average discount rate - operating leases | 4.85% |
Finance lease, weighted average remaining lease term | 2 years |
Weighted-average discount rate - Finance leases | 4.85% |
SCHEDULE OF FUTURE LEASE PAYMEN
SCHEDULE OF FUTURE LEASE PAYMENTS FOR FINANCE LEASE LIABILITY (Details) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Leases | ||
2023 | $ 31,123 | |
2024 | 23,343 | |
Total minimum lease payments | 54,466 | |
Less: amount representing interest | 2,348 | |
Total present value of minimum payments | 52,118 | |
Less: current portion | 29,240 | $ 27,858 |
Long term portion of finance lease liability | $ 22,878 | $ 52,118 |
SCHEDULE OF ANNUAL LEASE OBLIGA
SCHEDULE OF ANNUAL LEASE OBLIGATIONS (Details) | Jan. 31, 2022USD ($) |
Operating Lease, Liability [Abstract] | |
Operating Leases, 2023 | $ 148,348 |
Operating Leases, 2024 | 112,116 |
Operating Leases, 2025 | 112,116 |
Operating Leases, 2026 | 112,116 |
Operating Leases, 2027 | 112,116 |
Operating Leases, Thereafter | 4,927,079 |
Total Undiscounted Lease Obligations. Operating Leases | 5,523,891 |
Operating leases, Less Imputed Interest | 3,213,146 |
Operating leases, Net Lease Obligations | 2,310,745 |
Finance Lease, Liability [Abstract] | |
Finance Leases, 2023 | 31,123 |
Finance Leases, 2024 | 23,343 |
Total Undiscounted Lease Obligations. Finance Leases | 54,466 |
Finance leases, Less Imputed Interest | 29,240 |
Finance leases, Net Lease Obligations | $ 25,226 |
LEASES (Details Narrative)
LEASES (Details Narrative) | 12 Months Ended |
Jan. 31, 2022USD ($) | |
Northpoint Properties [Member] | |
Lessee, Operating Lease, Description | On August 4, 2017, the Trust entered into a five-year office lease agreement with Northpoint Properties for a commercial office lease at 1730 E Northern Ave, Suite 122, Phoenix, Arizona 85020 commencing on September 1, 2017 |
Payments for Rent | $ 4,100 |
[custom:OperatingLeaseIncreaseInRentRateYearly] | 6.00% |
Albuquerque Hotel [Member] | |
Operating lease, option to extend | The Albuquerque Hotel non-cancelable ground lease was extended on January 14, 2014 and expires in 2058 |
Tucson Oracle Hotel [Member] | |
Finance lease, description | The Company’s Tucson Oracle Hotel is subject to non-cancelable cable lease that expires in 2023 |
DESCRIPTION OF BENEFICIAL INT_2
DESCRIPTION OF BENEFICIAL INTERESTS (Details Narrative) - $ / shares | Jun. 19, 2017 | Jan. 31, 2010 | Sep. 15, 2009 | Jan. 05, 2009 | Sep. 10, 2007 | Aug. 18, 2005 | Sep. 10, 2002 | Jan. 02, 2001 | Jan. 31, 2022 | Jan. 31, 2021 |
Shares repurchase price per share | $ 2.96 | $ 1.06 | ||||||||
Stock repurchased, shares | 372,965 | |||||||||
Shares of Beneficial Interest [Member] | ||||||||||
Stock repurchased during period shares | 44,076 | 233,569 | ||||||||
Maximum [Member] | ||||||||||
Number of units were available for sale | 750,000 | 350,000 | 250,000 | 300,000 | 350,000 | 350,000 | 350,000 | 250,000 |
SCHEDULE OF DEFERRED TAX ASSETS
SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES (Details) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Income Tax Disclosure [Abstract] | ||
Net operating loss carryforwards | $ 1,352,000 | $ 1,352,000 |
Bad debt allowance | 2,000 | |
Accrued expenses | (2,000) | (2,000) |
Syndications | 2,923,000 | 2,923,000 |
Prepaid insurance | (4,000) | |
Alternative minimum tax credit | 51,000 | 51,000 |
Total differed tax asset | 4,324,000 | 4,322,000 |
Deferred income tax liability associated with book/tax | (1,396,860) | (1,502,000) |
Net deferred income tax asset | 2,927,140 | 2,820,000 |
Valuation Allowance | (2,927,140) | (2,820,000) |
Net deferred income tax |
SCHEDULE OF INCOME TAX PROVISIO
SCHEDULE OF INCOME TAX PROVISION (Details) - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Income Tax Disclosure [Abstract] | ||
Current income tax benefit | $ (50) | $ (68,661) |
Deferred income tax provision | 321,306 | 321,306 |
Change in valuation allowance | (321,306) | (321,306) |
Net income tax benefit | $ (50) | $ (68,661) |
SCHEDULE OF EFFECTIVE INCOME TA
SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION (Details) - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Income Tax Disclosure [Abstract] | ||
Federal statutory rates | $ 53,370 | $ (309,200) |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 4.00% | 21.00% |
State income taxes | $ 13,254 | $ (77,000) |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 1.00% | 5.00% |
Change in valuation allowance | $ (80,100) | $ 321,300 |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent | 5.00% | (22.00%) |
True-up in prior year returns | ||
Effective Income Tax Rate Reconciliation, Prior Year Income Taxes, Percent | 0.00% | |
Effective Rate | ||
Effective Income Tax Rate Reconciliation, Percent | 1.00% | 5.00% |
True-up in prior year returns | $ (4,000) | |
Amended to 2017 Amended Tax Returns and Other Adjustments, percent | 0.00% |
FEDERAL INCOME TAXES (Details N
FEDERAL INCOME TAXES (Details Narrative) - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Income Tax Disclosure [Abstract] | ||
Net operating loss carryforwards | $ 5,400,000 | |
Deferred Tax Assets, Gross | 4,324,000 | $ 4,322,000 |
Cumulative net operating loss carryforwards | 1,300,000 | |
Syndications | 2,900,000 | |
Deferred Tax Liabilities, Net | 1,500,000 | |
Operating Loss Carryforwards, Valuation Allowance | $ 2,900,000 |
OTHER RELATED PARTY TRANSACTI_2
OTHER RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
IHT OWNERSHIP % | 75.98% | 75.89% |
Berg Investment Advisors [Member] | ||
Professional Fees | $ 6,000 | $ 6,000 |
Innsuites Hotel Located in Tucson [Member] | ||
IHT OWNERSHIP % | 51.01% | |
Innsuites Hotel Located in Albuquerque New Mexico [Member] | ||
IHT OWNERSHIP % | 21.00% | |
Mr. Wirth and Affiliates [Member] | ||
Number of shares held for beneficial interest of trust | 5,876,683 | |
Percentage of shares issued and outstanding of beneficial interest | 64.72% | 61.42% |
Mr. Wirth and Affiliates [Member] | Class B Partnership Units [Member] | ||
Limited Partners' Capital Account, Units Outstanding | 2,974,038 | |
Percentage of outstanding partnership units | 22.51% | |
Mr. Wirth, Brain James and Affiliates [Member] | ||
Yearly salary | $ 62,000 |
SCHEDULE OF FAIR VALUE LIABILIT
SCHEDULE OF FAIR VALUE LIABILITIES MEASURED ON RECURRING BASIS (Details) - Fair Values of Trust's Debt Instruments [Member] - USD ($) | Jan. 31, 2022 | Jan. 31, 2021 |
Debt Instrument [Line Items] | ||
Mortgage notes payable, Carrying Amount | $ 5,757,302 | $ 5,937,584 |
Mortgage notes payable, Fair Value | 3,408,024 | 3,677,645 |
Other notes payable, Carrying Amount | 571,187 | 1,048,093 |
Other notes payable, Fair Value | 571,187 | 1,048,093 |
Notes payable - Related Party, Carrying Amount | 977,547 | |
Notes payable - related party, Fair Value | $ 977,547 |
SCHEDULE OF SUPPLEMENTAL CASH F
SCHEDULE OF SUPPLEMENTAL CASH FLOWS DISCLOSURES (Details) - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | ||
Cash Paid for Interest | $ 374,000 | $ 412,000 |
Notes Payable | $ 10,000 | $ 10,000 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||
Restricted cash | $ 0 | $ 0 |
Membership fees and reservation amount | $ 160 | $ 131,000 |
Tucson Oracle Property [Member] | ||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||
Percentage of deposit used for capital expenditures | 4.00% |
SHARE-BASED PAYMENTS (Details N
SHARE-BASED PAYMENTS (Details Narrative) | 12 Months Ended |
Jan. 31, 2022USD ($)shares | |
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ | $ 143,560 |
Stock issued, restricted stock, shares | 48,000 |
Independent Trustees Three [Member] | |
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |
Stock issued, restricted stock, shares | 16,000 |
Trusts Three Accountants [Member] | |
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |
Stock issued, restricted stock, shares | 3,000 |
Three IHT Employees [Member] | |
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |
Stock issued, restricted stock, shares | 2,000 |
OCCUPANCY TAX LIABILITY REVER_2
OCCUPANCY TAX LIABILITY REVERSAL (Details Narrative) - USD ($) | 12 Months Ended | |
Jan. 31, 2022 | Jan. 31, 2021 | |
Sales and occupancy tax expenses decreased | $ (798,000) | |
Maximum [Member] | ||
Sales and occupancy tax expenses decreased | 1,642,000 | |
Minimum [Member] | ||
Sales and occupancy tax expenses decreased | $ 798,000 | $ 844,000 |
EMPLOYEE RETENTION TAX CREDIT (
EMPLOYEE RETENTION TAX CREDIT (Details Narrative) - USD ($) $ in Millions | 12 Months Ended | ||
Jan. 31, 2022 | Jan. 31, 2021 | Jan. 31, 2020 | |
Employee Retention Tax Credit | |||
Employment tax refunds and credits | $ 2.9 | $ 2.9 | |
Tax credit receivable and tax refund description | the Trust has conservatively placed an amount equal to 12% of this total as a Tax Credit Receivable and Tax Refund on the Balance Sheet and Income statement, respectively |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - USD ($) | Mar. 30, 2020 | Mar. 31, 2022 | May 19, 2022 | Jan. 31, 2022 |
Subsequent Event [Line Items] | ||||
Subsidiary ownership percentage | 51.00% | |||
Debt Instrument, Face Amount | $ 8,400,000 | $ 1,296,000 | ||
Subsidiary transaction description | refinance it’s relatively low $ 4.4 million first position debt along with $ 3.8 million in inter-company advances used to complete the Best Western product improvement plan PIP refurbishment of the Hotel at a lower blended interest rate of 4.99% financed on a 25 year amortization with no prepayment penalty and no balloon. | |||
Subsequent Event [Member] | Tucson Hotel [Member] | ||||
Subsequent Event [Line Items] | ||||
Revenues | $ 998,740 | |||
Increase decrease in revenue | 457,943 | |||
Gross operating profits | 532,958 | |||
Increase decrease in gross profit | 357,858 | |||
Subsequent Event [Member] | Albuquerque Hotel [Member] | ||||
Subsequent Event [Line Items] | ||||
Revenues | 508,373 | |||
Increase decrease in revenue | 185,806 | |||
Gross operating profits | 133,551 | |||
Increase decrease in gross profit | $ 107,771 | |||
Subsequent Event [Member] | Trust [Member] | ||||
Subsequent Event [Line Items] | ||||
Stock repurchased during period, shares | 201,676 | |||
Stock repurchased during period, value | $ 211,000 |