Certain information included herein contains forward-looking statements that involve risks and uncertainties within the meaning of Sections 27A of the Securities Act, as amended; Section 21E of the Securities Exchange Act of 1934. These sections provide that the safe harbor for forward looking statements does not apply to statements made in initial public offerings. The words, such as 'may,' 'would,' 'could,' 'anticipate,' 'estimate,' 'plans,' 'potential,' 'projects,' 'continuing,' 'ongoing,' 'expects,' 'believe,' 'intend' and similar expressions and variations thereof are intended to identify forward-looking statements. These statements appear in a number of places in this Form 10-K and include all statements that are not statements of historical fact regarding intent, belief or current expectations of the Company, our directors or our officers, with respect to, among other things: (i) our liquidity and capital resources; (ii) our financing opportunities and plans; (iii) continued development of business opportunities; (iv) market and other trends affecting our future financial condition; (v) our growth and operating strategy. Investors and prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. The factors that might cause such differences include, among others, the following: (i) we have incurred significant losses since our inception; (ii) any material inability to successfully develop our business plans; (iii) any adverse effect or limitations caused by government regulations; (iv) any adverse effect on our ability to obtain acceptable financing; (v) competitive factors; and (vi) other risks including those identified in our other filings with the Securities and Exchange Commission.



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Overview

The following discussion and analysis of our financial condition and results of operations ('MD&A') should be read in conjunction with our consolidated financial statements and the accompanying notes to the consolidated financial statements included in this Form 10Q.

The MD&A is based on our consolidated financial statements, which have been prepared in accordance with U.S. GAAP. The preparation of these consolidated financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities and expenses and related disclosure of contingent assets and liabilities. Management bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

Three Months Ended December 31, 2020 and 2019

We generated revenues of $16,231,698 from sales of real estate during the three months ended December 31, 2020, compared to zero for the three months ended December 31, 2019. This is due to the fact that there were no properties owned in 2019, while properties were acquired in 2020. For similar reasons, real estate rental income for the period ended December 31, 2020 was $1,421,125, while there was no real estate rental income for the corresponding period in 2019. Costs associated with real estate sales were $783,573 during the three months ended December 31, 2020, compared to zero for the three months ended December 31, 2019, since no properties were owned in 2019.

General and administrative expenses for the three months ended December 31, 2020 were $1,185,364, compared to $1,142 during the corresponding period in 2019. This increase is due to significantly increased activity, including acquisition of real estate properties, during 2020, while the corporation was relatively dormant during 2019. Interest expense for the three months ended December 31, 2020 was $2,994,033, compared to $361 for the three months ended December 31, 2019. The increased interest expense related to properties acquired during 2020.

Liquidity and Capital Resources

In assessing its liquidity, management monitors and analyzes the Company's cash on-hand, its ability to generate sufficient revenue sources in the future, and its operating and capital expenditure commitments. The Company, as of the date of this filing, had approximately $11,601,437 in unrestricted available cash, which can be used to finance operations over the next 12 months. However, the Company had not generated any revenues from operations during the three months ended December 31, 2020, other than revenues from the sale of real estate properties. For the three months ended December 31, 2020, our total expenses were $1,902,617 consisting primarily of costs of rental real estate, taxes, legal and accounting fees, administrative expenses and filing fees. Net cash used in operating activities was $409,429,447 for the three months ended December 31, 2020, compared to net cash used in operating activities of $ 7,247 during the corresponding period of 2019.

The effects of COVID-19 could impact the Company's ability to operate as a going concern and maintain sufficient liquidity to continue operations. The impact of COVID-19 on companies is evolving rapidly and its future effects are uncertain. There are material uncertainties from COVID-19. There are a wide range of factors to consider, including travel bans, restrictions on activity, government assistance and potential sources of replacement financing, financial health of vendors and customers and their effect on expected profitability and other key financial performance ratios, including information that shows whether there will be sufficient liquidity to continue to meet obligations when they come due.

At December 31, 2020, we had an accumulated deficit of $13,240,725 and cash and cash equivalents (other than restricted cash) of$11,601,437. At December 31, 2019, we had an accumulated deficit of $755,900 and cash of $0.





COVID-19 Pandemic Update

The ongoing outbreak of Coronavirus (COVID-19) has caused significant disruptions to national and global economies and government activities.


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