me Opportunity Realty Investors(IOR) - 2025 Q3 - Quarterly Report

Financial Performance - The company reported a decrease in net income for the three months ended September 30, 2025, primarily due to a decrease in interest income from related party receivables [54]. - For the nine months ended September 30, 2025, net income also decreased, again attributed to a decline in interest income from related party receivables [55]. Cash Management - The principal sources of cash for the company are expected to continue being the collection of mortgage notes receivables and collections from related companies [56]. - As of September 30, 2025, the company anticipates that its cash and cash equivalents, along with cash generated from related party receivables over the next twelve months, will be sufficient to meet current cash requirements [57]. Related Party Transactions - The company engages in business transactions with related parties, which may not always be favorable and could include terms not beneficial to its interests [42]. - The company operates under an Advisory Agreement with Pillar, which manages its operations and is considered a related party due to common ownership [43]. - The company’s operating expenses primarily consist of general and administrative costs, including fees paid to related parties [52]. - The company has no employees; services are rendered by employees of Pillar under the Advisory Agreement [43]. Risk Factors - The company acknowledges various risks that could impact performance, including financing availability, economic downturns, and dependence on key personnel [44]. Fair Value Measurement - The company applies ASC Topic 820 for fair value measurements of real estate assets, prioritizing inputs based on their transparency [47].